News

29 Jun 2012
Sach kar denge sapne | Honda

The latest TV commercial of two-wheeler Honda motorbike Dream Yuga created by Dentsu Marcom captures the audience’s desire to make their dreams come true. Considering people have little time on hand and simply no time to pursue their dreams, the ad focuses on the daily life of the middle-class, urban Indian. Bang comes the Honda motorcycle as a solution promising a faster ride than that given by others. The commercial has the company’s new brand ambassador Akshay Kumar narrating the scenario and pitching the thought. The statement, Hamare paas sapne hai kilo ke hisaab se, aur samay atthanni bhar is catchy. The one-minute-40-second-long film shows people using their bikes to reach their respective destinations and ends with the tagline: Sach kar denge sapne. Though the commercial appeals emotionally, one wishes a bike ride could solve all our problems!

15 May 2012
'Ek Naya Dream. Ek Naya Yug’

New Delhi, May 15, 2012:

NEW DELHI: Honda Motor Co launched its first mass-market motorcycle for India and its cheapest motorbike worldwide on Tuesday, as it aims to tap low-cost emerging markets including more than doubling India's share of its motorcycle revenue by 2020.

Honda, which ended a 26-year joint venture with India's Hero MotoCorp in March of last year in an $851 million deal, has announced fresh investment worth 20 billion rupees ($373 million) since then as it looks to chase down its former partner, the current market leader.

Honda's 110cc Dream Yuga motorcycle, its first in India's 75-125cc commuter segment, will start at 44,642 rupees ($830) and will compete with Hero's Splendor brand, India's biggest-selling bike.

The company's wholly-owned subsidiary Honda Motorcycle & Scooter India (HMSI) also announced to rope in bollywood actor Akshay Kumar as a brand ambassador for the company.

Honda expects India to account for 30 percent of its global motorcycle revenues by 2020, up from 13 percent currently, said Keita Muramatsu, president of Honda Motorycle & Scooter India at the bike's launch in New Delhi.

"Our long-term target is to be the number one in India by 2020," said Yadvinder Singh Guleria, marketing head for Honda India. He said the company targets sales of 300,000 Dream Yugas in the current financial year that ends in March 2013.

Entry-level commuter bikes account for around 70 percent of the domestic market in a country that sold over 10 million bikes in the last financial year, second only to China.

Under the joint venture agreement, Honda was banned from directly competing with Hero Honda vehicles.

Honda's foray into the mass-market arena is part of a larger assault by Japanese motorcycle makers ramping up capacity and targeting volumes in a market that grew 14 percent in the 12 months to March 2012.

Yamaha Motor Co this week announced a new $280 million factory in India to almost triple capacity to 2.8 million motorcycles by 2018, while Suzuki Motor Corp, which will likely launch a mass-market offering this month, is building a new factory to take its India capacity to close to 1 million motorcycles by 2014.

Local rivals are taking note. Bajaj Auto, India's Number 2 but beaten into third place in March by Honda, launched a souped-up version of its flagship commuter bike, the Discover, on Monday.

Honda sold 220,487 two-wheelers in India in March, 50 percent more than in the same month last year, and marginally more than Bajaj.

The Japanese company, which also sells passenger cars in India, is currently constructing its third two-wheeler factory in the country. The new plant is expected to begin production early next year and take total capacity to 4 million two-wheelers.Akshay Kumar Brand Ambassador for Dream Yuga

Dream Yuga

1 Jun 2011
Honda to Expand Annual two-wheeler Production Capacity in India through Expansion of Second Plant and Construction of Third Plant

Tapukara, June 1,2011- Honda Motorcycle & Scooter India (Pvt.) Ltd. (HMSI), Honda’s wholly-owned two-wheeler production and sales subsidiary in India, announced plans to expand production capacity of its second two-wheeler production plant, which is currently under construction, and to build a third two-wheeler production plant to meet increasing demand in the rapidly growing two-wheeler market in India.

The second plant at the Tapukara Industrial Area of Rajasthan, which is approximately 90km from the center of Delhi, is scheduled to become operational in July 2011 with annual production capacity of 0.6 million units. HMSI aims to double the annual production capacity of this plant to 1.2 million units in March 2012.

Utilizing production technologies refined at the first plant as a starting point, HMSI will strive to improve process ergonomics and employ more advanced automation and other measures to reduce the burden on associates at the second plant. It will also be more environmentally responsible plant by pro-actively reducing energy consumption during production and by employing other environmental measures such as water recycling.

In order to realize Honda’s vision to provide good products with speed and affordability, the third plant will be built in Bangalore area in the southern part of India. This will enable HMSI to serve the vast two-wheeler market of India more efficiently, together with the first and second plants in northern India. The third plant is scheduled to become operational in the first half of 2013, with annual production capacity of 1.2 million units.

This capacity expansion plan will increase HMSI’s total annual production capacity to 4 million units, including 1.6 million units at the first plant, 1.2 million units at the second plant and 1.2 million units at the third plant, preparing HMSI for further and rapid growth of the market.

India represents the world’s second largest two-wheeler market behind only China, and industry-wide motorcycle sales in India for 2010 reached 11.32 million units (up 30% compared to 2009). HMSI was established as a wholly-owned two-wheeler production and sales subsidiary of Honda in 1999 and began production in 2001. HMSI’s sales have grown steadily with sales of approximately 1.526 million units in the last financial year 2010-11 (up 40% compared to FY ’09-10) achieving a record high for ten consecutive years.

In order to fulfill the diversifying needs of customers in the rapidly growing market of India, HMSI is enhancing its product lineup with CB Unicorn Dazzler in 150cc segment and CB Twister in the 110cc motorcycle segment that were targeted toward young consumers, and by recently introducing CBR 250R, HMSI’s first 250cc global sports bike. HMSI will continue fulfilling the expectations of its customers by enhancing its product lineup and expanding the production capacity.

HMSI annual production capacity

 
First plant
Second plant
Third plant
Total capacity
As of May 2011
1.6M units
--
--
1.6M units
July 2011
1.6M units
0.6M units
--
2.2M units
March 2012
1.6M units
1.2M units
--
2.8M units
1st half of 2013
1.6M units
1.2M units
1.2M units
4.0M units

 

About HMSI plants

 
First plant
Second plant
Third plant
Location
IMT* Manesar,
Gurgaon District, Haryana
Tapukara Industrial Area, Alwar District, Rajasthan
Narsapuram Area, Karnataka
Annual production
capacity
1.6 million units
(as of the end of May 2011)
0.6 million units (initially)
1.2 million units
(at full capacity)
1.2 million units (at the start of operation)
Lot size
210,000 m2
240,000 m2
350,000 m2
Production models
(Plans for second and third plants)

-Scooter: Activa, Dio, Aviator
-Motorcycle:
CB Unicorn,
CB Shine,
CBF Stunner,
CB Twister

- Scooter: Activa
- Motorcycle:
CB Twister,
CB Shine
- Scooter: Activa
- Motorcycle:
CB Twister,
CB Shine

About Honda Motorcycle & Scooter India (Pvt.) Ltd.

Establishment:
August 1999
Head office:
IMT* Manesar, Gurgaon District, Haryana state, India
Capital:
3 billion Rupee (approximately 5.4 billion yen,1 rupee = 1.8 yen)
Capitalization Ratio:
100% Honda Motor Co., Ltd.
Representative:
Keita Muramatsu, President & CEO, HMSI
Business Activities:
Production and sales of motorcycles and scooters
Network:
826 sales outlets (as of March 2011)

* IMT = Industrial Model Township