Honda Studying new Small Car to Rival Alto 800 and Hyundai Eon

Honda Cars India seems in mood to leave no stone unturned, its first ever diesel vehicle Amaze is all set to make its Indian debut on April 11, and the company has already disclosed its plans of launching five new models within next two-three years including next-generation Honda Jazz, a Jazz based compact SUV, new Honda city and an MPV, all with diesel powertrains. Now the company has made one more interesting revelation that it is studying the idea to bring in a new entry level hatchback to rival Maruti Suzuki Alto and Hyundai Eon.

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Honda is studying the idea of bringing in a low-price small car to position below the company's flagship hatchback the Brio. And for this, the company is looking into a variety of options including an all-new car and even the 600cc engine powered Kei cars sold in Japan. However, the company accepts that fact that 600cc engine might not be the right option for India, so they are still studying what best they can come up with.

Speaking on the same Hironori Kanayama, president CEO- Honda Cars India belives that entry level car market will continue to remain strong, so the company needs to look at such an option. "We are studying the market... (but) we do not have such a small engine, except for the Japanese market where we have the 660cc Kei cars," Kanayama said. Also accepting that 600cc engine might not be a viable option for India, he further added that "The taste of the Japanese customer and the Indian customer is totally different (and) so we cannot bring that model (Kei cars) into India."

He further said that Honda is still studying the market and "need some more time to make a decision on what needs to be done in this market" for the development of the new entry level hatchback."But we know that this market will be very stable, and will grow more,"

When asked whether Honda will develop a new engine for the new small car, Kanayama said that looks to be the most probable option. "We have not yet made any decision, and this depends on the market and the result of our study. If necessary, Honda can develop the other capacity of the engine."

Source: TOI

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