Honda to expand bike output in India with new line at Gujarat plant

The new fourth line at HMSI's Vithalapur facility will add 650,000 units of capacity by 2027, making it Honda's largest motorcycle plant globally

Honda Motorcycle & Scooter India Pvt Ltd (HMSI) on Thursday announced a significant expansion at its Vithalapur plant in Gujarat, adding a fourth production line that will boost its capacity by 650,000 units annually.

 

The new line, expected to be operational by 2027, will increase the total capacity of the Ahmedabad-based facility to 2.61 million units per year, making it Honda’s largest motorcycle assembly plant globally.

 

₹9.2 billion investment and 1,800 new jobs

 

HMSI will invest ₹9.2 billion in the project, which will focus on 125cc class motorcycles. The expansion is also expected to create 1,800 jobs in the region.

 

The fourth plant, which began operations in February 2016 with a capacity of 600,000 units, has already undergone two expansions—reaching 1.2 million units in June 2016 and 1.96 million by January 2024 with the addition of a third line.

 

Honda to cross 7 million unit capacity by 2027

 

“Honda has long been investing and expanding its production capacity in India, the world’s largest motorcycle market, to bring joy to its customers,” said Tsutsumu Otani, President & CEO of HMSI.

 

“With the additional investment in our fourth plant, Honda will continue to deliver attractive products and services... and further solidify its Indian motorcycle business.”

 

With this expansion and other capacity enhancements, HMSI’s total production capacity in India is projected to rise from the current 6.14 million units to 7 million units by FY27.

 

Market share, sales milestone in FY25

 

As of FY25, HMSI commands a 25.37 per cent market share in India’s two-wheeler segment, making it the second-largest player, up from 23.36 per cent in the previous fiscal.

 

Honda recorded 5.8 million unit sales in 2024, a 32 per cent year-on-year growth, and reached a cumulative production milestone of 70 million units as of April 2025, 25 years after commencing operations in 2001.