HMSI to add 1.2m units capacity at new Gujarat plant.

Honda Motorcycle and Scooter India, the 100 per cent subsidiary of Japanese firm Honda Motor, is expecting to add 1.2 million units capacity with its fourth plant that is underway. The plant, coming up at Ahmedabad in Gujarat, is expected to be operational in early 2016, according to Keita Muramatsu, president and chief executive officer of HMSI.

'India is a focus market for Honda and it is significant that Honda’s two-wheeler operations in India is the second largest contributor to Honda’s global sales. Recently, one in every four two-wheelers sold by Honda worldwise is from India,' he said adding that Honda's future growth will be co-driven by its scooter portfolio. Every second scooter being sold in India was a Honda.

The fourth plant in the making would be world’s largest only scooter plant, he said.

HMSI, which is the second largest two-wheeler company in India with over 20 million customers, has a total capacity of 4.6 million units across three plants at Manesar in Haryana Tapukara in Rajasthan and Narsapura in Karnataka. All the three plants are running on full capacity.

It is working to increase its overall production capacity by about 40 per cent in three and half years. It is foreseeing an increase in the customer demand for automatic scooters. Besides its new plant, it has plans to add a new production line in Karnataka before the end of 2016. The additional line would have a capacity of 6 lakh units.


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