Tuesday, September 27, 2011

Honda news: Honda Launches 'Brio Hatchback' in India

New Delhi, Honda Motor Co. Tuesday introduced its second hatchback and cheapest car yet in India. The auto maker seeks to challenge the dominance of Maruti Suzuki India Ltd. and Hyundai Motor Co. in the country's most popular vehicle segment.
Honda Brio Hatchback
The price of Honda Brio lies between 395,000 rupees ($8000) and 510,000 rupees at showrooms in New Delhi It’s powered by a 1.2-liter gasoline engine and would compete with Maruti's Swift and Ritz, Hyundai's i10 as well as Toyota Motor Corp.'s Etios Liva and Ford Motor Co.'s Figo.
Takashi Nagai, president and chief executive at Honda Siel Cars India Ltd., told a press conference, "We have been able to launch the Brio at a competitive price due to our efforts to control costs, maximize production efficiencies and minimize impact of currency fluctuations, and we have achieved this through higher localization," Honda Siel Cars is 99.9% owned by Honda, and 0.1% by India's Siel Ltd.
Mr. Nagai said, Honda Siel sources 80% of the Brio's parts locally, which it aims to increase to 90%, adding that the company has no immediate plan to introduce a diesel variant of the car.
"Our customers have mostly been in bigger cities so far. With the Brio, we expect to reach out to customers in smaller cities as well," he added.
The Honda Brio will add to Honda's Jazz hatchback, the City, Civic and Accord sedans and the CR-V sport-utility vehicle in India.
Honda Brio
The small cars comprise about 70% of all passenger vehicles sold in India, sought after because of their cheaper price tags and higher fuel efficiency. The last two years have seen a rush of new hatchback models in the country introduced by Toyota, Ford, Volkswagen AG and Nissan Motor Co.
The onset of the Indian festive season makes it an opportune time for Honda to introduce its new model. Rising fuel prices and interest rates have crimped demand for autos in India. The companies expect sales to recover during the festival months of October to December, which are considered auspicious by many to make new purchases.
The Honda recently also cut prices of Jazz by up to 23% to bolster demand for the premium hatchback.
Mr. Nagai, “the company will consider exporting the Brio to neighboring countries such as Bangladesh, Nepal and Bhutan in the near future. Honda has already started exporting Brio's parts to Thailand, where it already ships parts of City and Jazz models”.
 Filled Under: Honda & The Wall Street Journal

1 comment:

  1. Generally the interior of small,compact,sub-compact,hatchback cars lacks a charm but this is not the case with Honda Brio.I feel its interior is its USP.Its comparatively lesser price and modern exterior with powerful engine makes its a good choice.