On February 17, Honda announced that Honda Motorcycle & Scooter India has begun operations at its 4th scooter production plant in Gujarat, India.
The new facility was established with 11 billion rupees (about 18.2 billion yen) in investment capital and will produce 1.2 million scooters per year. Its first and second line each has a capacity of 600,000 per year. The first begins operation this month and the second is set to start in mid-2016. Through the new facility, Honda will expand yearly motorcycle and scooter production capacity up to 5.8 million units.
India is an important market for Honda’s motorcycles and scooters, making up about 25% of global sales. With Indian government initiatives underway to improve public roads, it’s expected that the scooter market will further expand. Honda’s new factory will expand production capacity to meet the growing demand.
(Translated by Greg Scott)