HONDA HOOTS!

HONDA FIT: Is this the new small car we've been waiting for?

This is a total turnaround. I remember during our 1996 Tokyo media junket, the then Honda CEO categorically stated two things: no diesel cars from the Honda stable and no small cars for India. That time belonged to the Civic, but we got the City instead. Anyway, Civic is here, too, and what a beauty! But that's another story for another time. This post is about Honda plans to enter the small car segment in India. According to Mr Takeo Fukui, President and CEO, Honda Motors Company,
the company is targeting production and selling of more than 1,50,000 units of automobiles in India by 2010 end.
Market analysts point out that Honda in the past evaluated the possibility of introducing its compact cars - the Jazz or the Fit - in the Indian market. However, given the high costs, it may not be possible to introduce the two cars in India at a competitive price. It is estimated that even if a high level of localisation is achieved on this hatchback, the Jazz would still have to be priced at nearly the price of the Honda City.
Therefore, it makes sense to introduce an all-new India-specific small car, which may have a few elements borrowed from its models sold in the western markets. The new car is likely to be in the premium compact car segment, which currently constitutes models such as the Maruti Swift, Ford Fusion and the Hyundai Getz.