February 16, 2007

Honda to build second car plant in India

New Delhi, India – Honda Siel Cars India (HSCI) has announced it has selected the state of Rajasthan for its second car plant in India. A letter of intent has been designed by representatives of HSCI and the Rajasthan government.

The state was chosen because of its proximity to Honda’s largest North and East markets, as well as logistics advantages and managerial convenience. The second plant will manufacture Honda’s small car in the Indian market, and will have an annual capacity of 50,000 units per year.

The new plant will also have a Suppliers’ Park, which will house Honda’s network of ancillary units. The project will be the first of its kind for Rajasthan and will assist in the industrialization of the state, with both upstream and downstream investments, and large-scale employment.

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