Honda Motor is in the process of testing the newly developed diesel technology called common rail i-DTEC on the hatchback Brio for the Indian automobile market and may launch a diesel variant of the Brio in 2012 with a 1.2 liter diesel engine. Launching a diesel variant of the small hatchback would enable the Japanese carmaker to tap into the currently diesel driven Indian car market.
With perpetual increases in the petrol price in the year 2011, there has been a significant rise in the sales of diesel powered vehicles owing to the subsidized price of diesel cheaper than petrol by nearly Rs. 30 per liter. While most car manufacturers in India have promptly introduced diesel variants of their car models with the objective of increasing car sales amidst industry slowdown, Honda is yet to venture the diesel car domain. With no diesel car model in its portfolio and additional production problems due to shortage of component supply from Japan and Thailand, Honda has suffered huge losses in the year 2011.
In 2012, the automobile maker plans to regain its normal production output. The launch of a diesel powered Brio may enable the company to boost sales and join the diesel revolution that has gripped the nation. Earlier, the company had plans to introduce the diesel variants of its car models no sooner than 2013. However, it may decide to implement the diesel technology in the Brio hatchback in 2012 in an attempt to quickly regain sales numbers.