Taking head on Maruti Suzuki Ciaz on Tuesday Honda cars launched 4th generation Honda City in an effort to regain leadership position in the premium sedan segment.
With the launch of the Honda City 2017, we aim to exceed our customers’ expectations by offering value at a very competitive price. I am confident that with the new City we will regain our leadership position in the segment,” said Honda Cars India President and CEO Yoichiro Ueno.
Maruti Suzuki’s mid-sized sedan Ciaz has managed to race to the top spot in the premium sedan segment this year. Numbers show that the Ciaz has sold 53,644 units between April 2016 to January 2017, which is 19 per cent higher than its closest competitor Honda City.
“Not only this product will arrest our degrowth in the premium sedan segment but we also expect to report positive numbers very soon once delivery for the new Honda City normalises,” Ueno added.
The new City will be available in both petrol and diesel options. While petrol variant is powered by a 1.5 litre engine and is priced between Rs 8.5 lakh and Rs 13.52 lakh, the diesel option also has a 1.5 litre engine and is priced between Rs 10.76 lakh and Rs 13.57 (all prices ex-showroom Delhi).
The City competes with Maruti Ciaz, which is available in a price range of Rs 7.86 lakh and Rs 9.96 lakh (ex-showroom Delhi).
“Since the launch of Honda city in 1998, we have sold 6.5 lakh units,” added Ueno.
When asked about capital expenditure made by the company in the country, Honda Cars India Senior Vice President and Director Raman Kumar Sharma said, “ The company till now has invested around Rs 8,000 crore in India.In the last three and half years, we have invested Rs 3,000 crore in India, which shows how important the Indian market is for us.”
Talking about component exports, Raman said, “ We exported Rs 1100 worth of auto components in 2015 while exported Rs 16,00 worth of the same in 2016.”
When asked about launch of its compact four metre SUV, Ueno said, “Very soon we will be launching compact SUV.”