Sources tell Indian Autos Blog that the upcoming small car from Honda (Code: 2CV) could use a 1.1-liter petrol engine. It is learned that the engine could share common parts with the locally-built 1.2-liter engine used on the Honda Jazz. The use of Honda’s cutting-edge VTEC technology was not confirmed.

Sources add the car will be launched in 2011 and is engineered to outrun the Swift and Ritz from the Suzuki stable.

The source says Honda has not looked into the diesel option even for this small car. Whether or not a diesel option will be added at a future date is still to be learned.

Honda’s mini-Jazz will be manufactured in India and Thailand, but specifically meant for the Indian market. Just like how the Accord was designed for the Americans and the City was built for the Thai market, the new mini-Jazz will be India’s turn in Honda’s book.

Codenamed 2CV, the mini Honda car will also be built in Thailand as part of the eco-car project.

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