Honda Siel Cars India has slashed the prices of its flagship Honda City sedan by up to Rs. 66, 000. The company announced its decision to cut the prices on Tuesday, June 14th, 2011. According to Honda, the price cut was made possible after implementing various cost reduction measures and increased efficiencies in manufacturing and part procurement.
Honda India in a statement quoted the car will now be available between Rs. 749,000 and Rs. 989,000 (ex-showroom, Delhi). Commenting on the price reduction, Mr. Jnaneswar Sen, Sr. Vice President, Sales & Marketing, Honda Siel Cars India, said, “In anticipation of bigger volumes resulting in economies of scale from the second half of current year, we have achieved considerable cost reduction and are happy to pass on the benefit to the customers with immediate effect.”
Honda has been facing stiff competition from other models in the same segment such as Hyundai Verna, Maruti SX4 and Volkswagen Vento.