Honda to position small car in premium segment

02 Jul 2007

Tapukara: Honda Siel Cars India has announced its entry into the small car segment in India and has said its small cars would cater to the premium market.

This implies, contrary to indications, the new passenger car would not be priced as low as $3,000 (Rs1,20,000) unlike other small cars in the led by Tata Motor, which are in the offing.

Honda has said its small car would cost about $9,000 (Rs3,60, 000) would not be a vanilla offering.

The company plans to develop a hatchback like Maruti''s Swift or Hyundai''s Getz in the premium segment that would qualify for excise duty benefits given to small cars.

The company''s planned plant in Rajasthan would be set up with an initial investment of Rs1,000 crore, would begin production by 2009 and employ about 3,000 people.


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