Honda - New Unit in Rajasthan
January 14, Honda Siel Cars India (HSCI) is being to set up its second car plant in Rajasthan at an estimated cost of Rs.900 crores. Honda’s small car in the Indian market will be manufactured by this second plant and will have an initial capacity of 50,000 units per annum. It has signed a letter of intent with the government of Rajasthan to this effect.
Honda is the leading manufacturer of premium cars in India. It operates through a joint venture Honda Seil Cars India (HSCI). The company informed that it had been in discussion with severl states for the company’s new plant, but eventually selected Rajasthan because of its proximity to Honda’s biggest market as well as logistics advantages and managerial convenience.
Honda Seil Car India president and chief executive officer (CEO) Masahiro Takedagawa said that they would contribute to the industrial development of the state to enhance employment apportunities through several avenues.
He also said that they would bring the same corporate culture to the state of Rajasthan, as Honda had always been a good corporate citizen globally and has contributed tyo the societies it had operated its. Honda is seeking an area of 500 to 700 acres for the plant. The plant is expected to see an investment of $200 million from the company and will be used for manufacturing small cars.
The company informed that the new plant would also have a Supplliers’ Park, which would house Honda’s network of ancillary units. The project is claimed to be the first of its kind industrialisation of the state with both upstream and down stream investments as well as large-scale employment generation. Mr Takedagawa said that Honda was committed to the preservation of ecology of the srroundings it operates in and aims to be the company that society would want to have across the globe.
