Honda Cars India recently completed 25 years of selling the City sedan in India. First launched in 1998, City has long been a favorite sedan in the country and has sold over 9 lakh units in India and export markets. Recently in April 2022, the company launched a hybrid version of the City based on the fifth generation, called the Honda City E: HEV. TOI Auto sat down with Honda Cars India, President and CEO, Takuya Tsumura as he gave us an update on the progress of the City to City e:HEV, some exciting bits about Honda’s upcoming SUV and Honda’s trajectory towards electrification. But his personal insight. Here’s how it went.
Right – Takuya Tsumura, President and CEO, Honda Cars India
Honda City E:HEV . market response to
City E: HEV is the company’s first hybrid offering in the country. It aims to carry forward the model’s legacy of reliable and affordable mobility, with its 1.5-litre Atkinson cycle engine returning 26.5 km/l in combination with hybrid electric technology. However, many have not left the showroom floor due to the ongoing geopolitical and supply chain issues.
Clarifying the limited sales for City E:HEV, Tsumura said, “Currently, the actual demand for Honda City E:HEV is 9-10 per cent of City’s total sales right now, but I believe that Because of the supply limitations we are facing. By next year, we plan to increase production for e:HEVs by at least 10 percent. While the semiconductor shortage is improving somewhat, we still have enough cars. are not producing as hybrids require more semiconductor chips, hampering production in India and around the world.
Honda City E: HEV (Hybrid) review: The champion of efficiency and comfort
With the recent launch of two other hybrid SUVs from two of its closest competitors, the Honda City e: HEV could be the only hybrid in the country that is losing ground due to manufacturing constraints. Priced at Rs 19.89 lakh, the City e:HEV is costlier than the stronger hybrid of Maruti Suzuki Grand Vitara and Toyota Haider.
A brand new SUV for India
honda india The highly popular is working on a brand new offering for the mid-sized SUV segment, currently dominated by brands like Hyundai and Kia.
When asked about the vehicle, Tsumura confirmed to TOI Auto that Honda India is indeed all set to launch a new SUV in 2023 ahead of the festive season. “In fact, we have already planned and completed the development phases and we have the products and the cars in the factory. Yes, we may be late to enter the compact SUV segment but I am sure next year we will be able to launch our SUV as planned. We are confident about the model that we are bringing to the Indian customers.” Tsumura said.
He also revealed that based on Honda’s long-standing philosophy, the upcoming SUV will be comfortable and spacious. Asked if it would be the biggest in its segment, Tsumura said, “It’s a good question but please wait a bit, we won’t be disappointed.”
Is hybrid technology the right way for Honda India in the midst of a growing EV market?
While the CEO of Honda India remained silent about the upcoming SUV, he did make some interesting comments on the company’s direction and timeline towards EVs in India and other countries.
Tsumura said, “Worldwide, the cost of an electric vehicle versus a hybrid varies. In some countries, hybrids are much cheaper than EVs because of taxes. In other countries, prices for EVs are the same or cheaper.” In countries like Japan, hybrids are more affordable which makes them more desirable for our customers. Then there is also the matter of infrastructure, countries which have an extensive charging network to support EVs, they are completely in the current scenario. are more suitable for electric cars and hybrids for other countries.”
While EVs for Honda Cars and Tsumura may be more affordable in terms of running costs, the decision to move to EVs alone should be based on extensive discussion. He also said that high taxation of up to 40% on hybrids in India affects overall competition, but the technology itself is suitable for a market like India, where EV charging infrastructure is yet to be developed. “Of course, the long-term direction is towards EVs but it is not the right time”, he said.
Possibilities of performance-oriented versions
The first generation Honda City created a buzz among enthusiasts in the country with its V-TEC 16 valve engine producing 100 hp. In 2006, Honda brought the Civic to India, which made waves due to its futuristic exterior and interior design and 1.8-litre naturally aspirated engine. Later, a sports version was also launched to cater to the enthusiasts. However, competition has picked up in the last few years and the performance-based models haven’t seen much action from Honda.
Unfortunately, Honda fans can’t immediately expect any good news in that department. “As Honda India, we are more inclined towards electrification and safety right now. But we will always have the DNA of motorsports and currently, we are gearing up to bring the new SUV to India. Tsumura said.
On a personal note, Tsumura told TOI Auto, “Absolutely, the new fifth generation Honda City is my favourite, but I also loved the first generation model and still have the brochure.”
While no clue about a performance-based Honda was given during the talks, it is good to know that the President and CEO of Honda India and an enthusiastic Takuya Tsumura himself is steering the ship. What are your thoughts and what would you like to see in Honda’s new compact SUV? Tell us in the comments.
Images of US-spec Honda HRV are used for representational purposes only.