Honda’s Indian unit said on Tuesday it would resume construction of its second car plant in India, suspended since the 2008-2009 global financial crisis.
Honda Cars India aims to complete the plant in the western Indian state of Rajasthan next year, and to boost its annual vehicle production capacity in India to 240,000 vehicles, Kyodo News reported.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
The new plant will produce vehicles for sale in the growing Indian market and for export to Africa and Europe.
Honda Cars India president Hironori Kanayama said the plant would produce diesel engine vehicles to expand Honda’s product lineup in India.
“We will meet customers’ diversifying demand.”
Honda will spend JPY42.7bn on the assembly plant and adjacent diesel engine and component factories.
The Honda subsidiary plans to employ 2,200 workers at the Rajasthan plant.
