Honda Cars and Two-Wheelers announce capacity expansion in India - IAB Report

27/03/2015 - 18:15 | Honda Jazz, Honda Activa, Honda, Honda Motorcycles | Anjan Ravi

Plants of both entities receive heavy investment.

Japanese car and two-wheeler manufacturer, Honda, has announced that it will expand capacity of its car and two-wheeler manufacturing plants in India.

Honda Cars India Tapukara Plant plant exterior live — Honda Cars India's second plant in Rajasthan gets a INR 380 Cr investment.

Honda Cars India announced that it will invest INR 380 crores to expand its second manufacturing plant in Tapukara, Rajasthan. Annual production capacity of this plant will be increased from 120,000 units to 180,000 units by mid-2016. The capacity expansion will also add a further 600 jobs, the manufacturer said in a statement.

With the expansion of the second plant, Honda Cars India’s annual production capacity will increase from 240,000 units to 300,000 units. The Tapukara plant is responsible for manufacturing the Honda Amaze and Honda City, while the Greater Noida plant makes the Brio and Mobilio, and assembles the CR-V from CKD kits.

Honda Activa 3G front at the launch — HMSI recently launched the updated Activa.

Honda Motorcycle & Scooter India Pvt. Ltd. has announced that it will expand production capacity of its 3rd plant located in Narasapura, Karnataka, which makes the Dream motorcycle and Activa. This plant, which has an annual capacity of 1.8 million units, will benefit from an additional 600,000 units by the end of 2016.

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HMSI says it will build a new production line within the existing plant site to take annual capacity up to 2.4 million units. All plants put together, HMSI will have a total capacity of 6.4 million units. The investment comes at INR 5.8 billion (INR 580 crores).