Honda Cars

Brand Overview : Honda is one of the biggest Japanese carmakers that ventured into the Indian car market in the late 1990s when the Indian auto industry was witnessing the arrival of many global auto giants. A carmaker known for making refined, reliable and durable petrol cars and UVs, Honda has earned a solid reputation as a trustable and reliable carmaker in its legacy of around three decades in India.
 
Key Milestones In India : Honda began its operations in India in 1995 as Honda Siel Cars India, which was a joint venture between Honda Motor Company Limited and Usha International. Under this joint venture, a manufacturing facility was set up in Greater Noida. Spread over 150 acres, the first manufacturing facility of Honda began operations in 1997.
The first car to roll out of this manufacturing facility from Honda was the first-generation City sedan. Launched at the 1998 Auto Expo, the Honda City became an instant hit due to its Japanese engineering excellence and premium appeal in the compact sedan category.
In the following decade, Honda expanded its lineup in India by introducing many of its global models like Accord, Civic, CR-V and Jazz in the Indian market. Meanwhile, the Honda City also dwelled further with its second and third-generation models in the coming years. During this time, Honda also tried its hands with the Civic Hybrid, its first-ever hybrid car for India.
Honda began the 2010s with the launch of the Brio hatchback, the smallest and most affordable car from Honda in India to cash in the demand for small cars in India. In 2012, Honda Motor Company Limited acquired the 3.16 per cent stake of Usha International in the joint venture and renamed the Indian arm of the company Honda Cars India Limited.
At a time when diesel car sales in India peaked in 2012-2013, Honda introduced its first-ever diesel-powered car, the Amaze compact sedan, which was also launched with a petrol engine. Honda introduced the fourth-generation City in 2014, which was followed by new-generation models of the Accord and CR-V. It was at this time when Honda opened its second manufacturing facility in Tapukara, Rajasthan, which is spread over 450 acres.
In 2015, Honda explored more opportunities in the compact MPV space with the Mobilio and BR-V. At the same time, Honda also introduced the facelifted versions of Brio and Amaze and launched the all-new generation models of Jazz and Accord Hybrid.
When the craze for compact SUVs was just beginning, Honda launched the rugged-looking crossover version of the Jazz, the WR-V. At a time when the D-segment of sedans was almost dead, Honda decided to revive it by launching the all-new Civic in 2019, besides also launching the new-generation model of CR-V at the same time.
The launch of the fifth-generation City was a landmark moment for Honda in 2020, but due to a decline in the overall sales of automobiles in the aftermath of COVID-19, Honda shut down its manufacturing facility at Greater Noida, while continuing with the Tapukara plant.
During the transition to BS6 stage-2 emission norms, Honda revived its lineup and shrunk it to only a handful of models, discontinuing more than half of its models. Given the rising demand for premium compact SUVs, Honda also ventured into the space by launching the Elevate in 2023.
 
Product Range And Segments : From a carmaker which offered a wide range of products ranging from an entry-level compact hatchback to a premium midsize sedan and SUV, Honda’s product lineup in India has been reduced to only a handful of models. Currently, Honda has three different models in India – the Amaze compact sedan, the City premium compact sedan and the Elevate premium compact SUV.
 
Unique Selling Propositions (USPs) : Despite the decline in sales of Honda cars in India, people have always looked up to Honda as a premium and aspirational brand. When the Japanese carmaker arrived in India in the late 1990s, it was perceived as a ‘luxury brand for the masses’, when the Indian audience had limited exposure to the best of global automotive engineering. With the City sedan in the compact sedan space, Indian mass-market car buyers got an option of a refined, premium and well-built sedan in an affordable price range.
With more global models arriving in the coming years, the reputation of Honda as a premium brand for the Indian mass market car buyers remained intact. Despite the fact that Honda’s portfolio is not as versatile as it was once upon a time, that perception of Honda as a premium brand offering reliable and quality products hasn’t faded away from the minds of Indians.
 
Technology And Innovation : Honda is always credited for offering one of the best petrol powertrain technologies in mass-market car buyers, with its i-VTEC range of naturally-aspirated petrol engines, which included 1.2-litre, 1.5-litre, 1.8-litre and 2.4-litre engines. Apart from offering world-class petrol powertrain technology with the i-VTEC, Honda is also one of the first beneficiaries of hybrid technology with the hybrid versions of Civic and Accord in the past and City Hybrid in the current times.
 
Sustainability And Future Goals : Honda is one of the advocates of hybrid technology for cars in India, with the City sedan continuing the momentum for hybrid cars in the country. However, the company seems to be changing its approach from hybrid to pure electric vehicles in India. This move was evident when Honda decided to launch the Elevate as a petrol-only SUV and not offer a hybrid powertrain, despite it offering a suitable hybrid powertrain already in the City sedan. Honda is readying the all-electric version of the Elevate, while it has also indicated the launch of more electric vehicle models soon.
 
Customer Perception And Competitors : With its current range of petrol-only models – Amaze, City and Elevate, Honda has managed to retain the perception of a trusted Japanese carmaker which has stuck to its grounds of not compromising with quality, reliability and technological excellence.
The Amaze competes with Maruti Suzuki, Hyundai and Tata in the compact space, whereas the City has rivals from Maruti Suzuki, Hyundai, Volkswagen and Skoda in the premium compact sedan category. Meanwhile, the Elevate SUV has a host of competitors from almost all mass-market brands, including Maruti Suzuki, Hyundai, Kia, Mahindra, Volkswagen, Skoda and Citroen.
 
Closing Thoughts : From a carmaker that enjoyed a rich legacy in the earlier years of the 2010s, Honda seems to have lost the race and hasn’t been able to keep up with the changing trends of the auto industry in India. However, being a global giant which has a rich research and development facility and excellence in making products, which have proven their mettle in the past, there are expectations from Honda for the coming years in India with more new-age products.