Petrol Stop - Honda Cars undecided about vehicle assembly in Rajasthan

Honda Cars undecided about vehicle assembly in Rajasthan

Thursday, 26 August 2010

26 August 2010;timesofindia.indiatimes.com:NEW DELHI: Premium carmaker Honda Siel Cars India (HSCI) on Thursday said it is yet to decide on starting vehicle assembly in its second plant in Rajasthan, which has been put on hold indefinitely since last year. "We have not yet decided on the vehicle assembly...it will depend on the full capacity utilisation of our first plant in Greater Noida," HSCI Vice-President Jnaneshwar Sen told reporters at the Society of Indian Automobile Manufacturers (SIAM) summit here. The company had announced an investment of Rs 1,000 crore in the Tapukara plant having an installed capacity of 60,000 units per annum. It has recently increased the investment by Rs 250 crore. "We will launch our new small car in the next year from the Greater Noida plant. Once the capacity is fully utilised, we will move to Rajasthan," Sen said. Greater Noida has a capacity to produce 1 lakh vehicles a year. Currently, it is utilising about 60 per cent of its full capacity. In April-July period, the company sales had declined to 16,925 units from 17,749 units in the year-ago period.