Honda Delays its Second Car Plant in India
Honda has announced to delay opening its second car plant in India. It has earlier schedule to open its second plant in 2009 in Rajasthan but now looking at the current economic conditions and present car market situation, it will open its new second car plant by October 2010. T
he statement was made by Tokyo based spokesperson, Sakae Uruma, on Saturday, when Honda's engine parts and press units in the present facility began their operations.
Honda registered a drop of 14 percent in its passenger car sales between April to August 2008. It also revised its target of car sales growth to 10 percent from its earlier growth of 13 percent owing to the dampening of demand in cars. However, company looks at India as a long term promising market and hope to triple its car sales by 2015.
Honda currently manufactures Honda City , Honda Civic and Honda Accord in India at its New Delhi plant and has made investments to the core of $349 million so far in India.
[Via:cartradeindia]