Honda launches new CR-V

Honda Siel Cars India (HSCI) will target its existing customers with the company's newly launched CR-V that combines the features of a sports utility vehicle and the comfort of a sedan.

HSCI's head of sales for Western zone Munaf Meghani told mediapersons at the launch of CR-V in Pune that the vehicle had already generated significant interest from the customers.

This is the third generation of CR-V being launched across India.

The company will target its existing customers with the new product and also pitch for business from 'the young audience with an average age of 35-40 years, as the new CR-V is meant for educated, tech-savvy, well travelled and adventurous," he added.

Describing the new features, Meghani said it had a much flexible tilt and telescopic steering, driver-side 8-way power seat adjustment, dual climate control air-conditioner and latest music system. The new CR-V will be available for Rs 21.16 lakh (manual transmission) and Rs 22 lakh (automatic transmission) in Pune.

Meghani said the company expects to sell about 1,200 units of the CR-V per year. The company is planning to expand the production capacity of its plant in Noida, Uttar Pradesh.

He did not disclose the exact nature of expansion, but said the company had plans to invest Rs 430 crore in the expansion, which will be complete in a year. Sources, however, indicate that the company's manufacturing capacity is expected to rise to 60,000 units from the 40,000 now.

He said the CR-V cars were being imported as complete built units (CBUs) from the Honda Motors' Thailand manufacturing facility.

Since it was first launched in 2003, the CR-V has sold 5,547 units while the car has sold 2.5 million units since its debut in 1995, he informed.

The company is considering setting up its second plant in India though the location had not yet been finalised. "Many states including Maharashtra are being considered but no decision has been made so far," he said.