New Delhi sources reported that the two-wheeler maker Honda Motorcycle and Scooter India (HMSI) is exploring options to construct a new manufacturing plant in India by 2020. Minoru Kato President and CEO, HMSI said “The Company is planning to set up a new plant in India and we are still under discussion with the Honda headquarters in Japan".
Meanwhile HMSI expects a double double-digit growth with current capacity of 6.4 million units from four plants. Moreover the two-wheeler maker already produced 6.1 million in FY18. Further this capacity could be a constraint. The maker of Activa will also work towards increasing capacity from the existing plant this year.
Accordingly the rural market contributed about 30%
to the total domestic sales in FY17-18 and it sees the rural market to be
stronger, the company confirmed. Furthermore the Japanese two-wheeler maker on
Tuesday announced that it will be investing Rs 800 crore towards modernization
of its plants and launching new products.
