Tuesday, July 10, 2018
By Manoj Kumawat
Buying Honda Cars To Be Expensive From August 1, 2018
It is reported that Honda Cars India Limited, the Indian alliance of Japanese car maker Honda Motors is going to hike the prices of its entire portfolio with effect from August 1, 2018. According to the sources of company, the hike will vary from Rs. 10,000 to Rs. 35,000 depending upon the model purchased by the customers. The hike in custom duty and freight costs are revealed as the reason behind the hike in prices. The sources of company said that the hike will also be effective on newly launched generation next Amaze.
It would be interested to know that the last three years have not been encouraging for the Japanese car maker and its share in the Indian car market felt from 7% in 2014 to 5% in 2017, and the cars launched by the car during these years in different segments could not perform well against their closest rivals Maruti Suzuki India Limited and Hyundai Motors India Limited. However, during the ongoing financial year 2018-19 the HCIL plans to bring new versions of its existing cars, of which generation next Amaze has been recently launched. The other two cars ready for launch in coming months are generation next CR-V and Civic sedan. With Honda planning to increase its share in the Indian car market, industry experts believe that there will be cut throat competition in the market with Korean car maker Kia Motors getting for its debut in India at one side and leading car makers like MSIL and HMIL planning to enter in new segments.
Commenting about the price hike Mr. Rajesh Goel, Sr. Vice President, Sales and Marketing, Honda Cars India Ltd. said, "Due to the increasing pressure on input costs, the impact of custom duty hike over the past few months and higher freight rates, we are forced to consider increasing the prices of our cars. The increased price will be effective from 1 August 2018."