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Auto Expo 2018: Honda Motor Co aims to double market share in India

One of the challenges for Honda is that lower taxes on small cars in India make them a preferred choice for buyers, and the carmaker has few small cars to offer

Reuters  |  Greater Noida 

Honda, Yoichiro Ueno, auto expo
Yoichiro Ueno, President & CEO, Honda Cars India,with honda electric vehicles at autoexpo18 | Photo: Sanjay K Sharma

Japanese carmaker plans to double its market share in within the next few years, the head of its local unit told Reuters, as it looks to boost its presence in the world's fifth-largest

To be a major player and have a meaningful presence, Honda needs to achieve a 10 percent market share, Yoichiro Ueno, of the carmaker's unit, told during the country's biennial auto show.

Honda, which sells cars such as the City sedan and sport-utility vehicle in India, has seen its market share fall to about 5 percent at the end of 2017 from 7 percent three years ago, industry data show, thanks to a slew of new launches from rivals and

Annual passenger vehicle sales in crossed 3 million units last year and the country is expected to become the world's third-largest by 2020, trailing only China and the

One of the challenges for Honda is that lower taxes on small cars in make them a preferred choice for buyers, and the carmaker has few small cars to offer.

"Our global line up is different so it is a bit difficult to utilise global resources," Ueno said, adding in needed to change to encourage carmakers to bring in products from their global portfolio.

The Japanese carmaker is utilising only 70 percent of its annual production capacity of 300,000 units in and needs to ramp up output to be efficient, Ueno said.

First Published: Thu, February 08 2018. 22:10 IST
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