Honda expects volume growth for its domestic two-wheeler market to moderate in FY15 versus the previous year as the high base of last year catches up, yet it aims to handsomely beat the industry with a 26% jump to 45 lakh units on the back of two new bike launches and the addition of 1,000 dealerships.
Honda is also investing over Rs 1,000 crore for a fourth plant in Gujarat, which will start operations in FY16.
The company announced the FY15 business targets at its 13th annual business meet in Japan.
Keita Muramatsu, president & CEO, Honda Motorcycle & Scooter India, said, “HMSI has set the challenging target of 45 lakh unit sales in FY15. I am confident that propelled by three new launches including the Activa 125 and aggressive network expansion, Honda will meet the expectations”.
This year, the company will launch a new model in the Dream entry bike range, and another sporty 160cc motorcycle targeting the youth.
YS Guleria, VP (sales & marketing), HMSI, said, “Honda will add 1000 new touch-points to its network. This translates to adding three outlets each day. With this, Honda will double its network in just two years from 1,950 outlets in FY13 to 3,800 outlets by end of FY15.”