Honda SIEL’s Tapukara unit to start assembly in 2-3 years

Honda Jazz

Honda SIEL Cars India Limited (HSCI) will begin rolling off new cars from its Rajasthan facility in the next 2-3 years. The second manufacturing unit of the Japanese car maker will be up and running in the next couple of years which will help reduce the load on their Noida facility. The new plant is coming up in Tapukara in Rajasthan. Honda has had the plan of starting its new plant but was put on hold by the automaker since 2008. The plant has been partially operational since then though and has been producing components.

Honda is currently not utilizing the full capacity of the Greater Noida unit and the decision to start assembly at the new plant will only be taken when the current plant capacity is reached. This according to Honda, might be necessary in the next 2-3 years time. The Greater Noida unit has a maximum capacity of 1.2 lakh units.

Honda Brio Hatchback

The automaker has invested Rs 1000 crore to setup the new Tapukara plant which has an installed capacity of 60,000 units per annum. Honda had also injected an additional Rs 250 crore in the Tapukara unit to expand the powertrain division to cater to the Honda Brio small car. Honda had recently slashed the prices of the Honda Jazz and the City which attracted a substantial crowd to Honda showrooms.

The new Jazz to has been competitively priced compared to heavy weights like the new Maruti Suzuki Swift and the Ford Figo. The absence of a diesel though might hurt its sales a bit. But, given the popularity of the Jazz and the buzz that has built up over the Honda Brio, the sales could increase over the next few years and the new assembly unit will only make matters