Honda to launch three new models, including first EV by FY27

Reaffirming its commitment to the domestic automobile market, Japanese automaker Honda Cars India is planning to launch three new models by FY27, according to Takuya Tsumura, President & CEO of Honda Cars India Ltd.

“We will introduce three new nameplates by FY26-27,” Tsumura said at the sidelines of the launch of the 4th generation Honda Amaze adding that more details will be unveiled as the company’s plan progresses further.

Notably, the company is also planning to introduce the first electric vehicle by FY27. Kunal Behl, Vice President- Marketing and Sales told Business Today that the first EV will be a sports utility vehicle (SUV). The company is, additionally, planning to add hybrid models in its existing portfolio. The company currently has one SUV in its portfolio - Elevate, which has sold 90,000 units in the domestic market since its launch in 2023. By 2030, the company plans to add five more SUV models in its portfolio.

Notably, through the launch of the new Honda Amaze, which will compete with the likes of Maruti Suzuki’s new Dzire and Hyundai Aura, the Japanese automaker is aiming to revive the sedan segment. Since its launch in 2013, Honda has sold more than 5.8 lakh units of Amaze sedan. According to Tsumura, Amaze accounts for 40 per cent of Honda’s total domestic sales. “Almost 50 per cent of customers are first-time buyers,” said Tsumura. The new Honda Amaze made its global debut on Wednesday at a starting price of Rs 8 lakh.

According to Behl, the lower sedan segment witnessed a degrowth of 2 per cent in the last five years. With the introduction of Amaze, Honda is aiming to re-energise the segment. “The sedan segment including Amaze and City currently contributes about 9 per cent of the total industry... Customers, either upgrade to a sedan or upgrade to an SUV. So while the SUV segment is crowded, the sedan segment is like a ‘three-box car’, which is quite safe. So we believe that there could be a natural upgrade from hatchback to sedan, and the size in the segment should increase,” said Behl.