Honda Cars India, the wholly owned subsidiary of the Japanese automobile manufacturer Honda is considering setting up its third production facility in the state of Gujarat. The automaker’s two wheeler division, Honda Motorcycle and Scooter India has already set up a plant in the state.
Then automaker expects to increase its annual production capacity in order to meet the increase in demand for its newly launched car products such as the Amaze compact sedan and the new 2014 City mid-size sedan which currently have a long waiting period for delivery.
The carmaker is reportedly looking for an area of 250 acre land and is visiting sites in the state for the same.
Honda India has recently inaugurated a new manufacturing plant at Tapukara in the state of Rajasthan in February 2014 with an investment of Rs 3,526 crore. The new facility is currently being operated in a single shift for a capacity of 60,000 vehicles annually while the installed capacity of the plant stands at 1,20,000 units annually.