Honda to set up World’s largest only scooter plant in Ahmedabad, Gujarat

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Keita Muramatsu, President and CEO, HMSI at the 4th plant Bhoomi Pujan in Gujarat

Honda Motorcycle & Scooter India, on October 16, 2014, held the foundation stone laying ceremony and ‘Bhoomi-poojan’ for its landmark fourth manufacturing plant at Vithalapur (Mandal taluk, Ahmedabad district, Gujarat) in India. This will be Honda’s fourth two-wheeler production plant in India. Spread across 250 acres, Honda’s fourth 2Wheeler plant at Vithalapur is approximately 80 km from Ahmedabad city. Once operational by end of 2015, it will have an annual production capacity of 1.2 million units, making it the world’s largest only scooter manufacturing facility.

In order to serve customers more efficiently with speed, undertaking this capacity expansion plan will increase HMSI’s total annual production capacity to 5.8 million units, including 1.6 million units at first plant (Haryana), 1.2 million units at second plant (Rajasthan) and 1.8 million units at third plant (Karnataka).

2013 Honda Activa HET (15)

The foundation stone laying ceremony of Honda’s latest plant was distinguished by Chief Minister of Gujarat, Anandiben Patel, Finance Minister, Govt. of Gujarat, Saurabh Patel and other senior dignitaries from the Gujarat government. Key officials from Honda included Noriaki Abe (Chief Operating Officer, Honda Motor Company Ltd.-Asia & Oceania Region), Yoshiyuki Matsumoto (Managing Officer – Honda Motor Co. Ltd., President & CEO, Honda Motor India Pvt. Ltd.), Keita Muramatsu (President & CEO – Honda Motorcycle & Scooter India Pvt. Ltd.), Harbhajan Singh (Vice President – General & Corporate Affairs, HMSI), Yadvinder S. Guleria(Vice President – Sales & Marketing, HMSI) and local residents.

Speaking about the significance of the upcoming 4th plant in Honda’s global business, Noriaki Abe, Chief Operating Officer, Honda Motor Company Ltd- Asia & Oceania Region, said, “As the World’s biggest two-wheeler market, India is already a priority market for Honda. In the current fiscal 2014-15, Honda aims to sell 18.2 million two-wheelers worldwide and for the first time, India will contribute almost 25% to global Honda sales. We have huge expectations from this project as this will be our flagship and benchmark plant in India in terms of volume, safety, quality, cost, associate skill and moral. ”

Honda Dio HET (10)

Adding his thought on this upcoming plant, Yoshiyuki Matsumoto, Managing Officer – Honda Motor Co. Ltd., said, “I would like to thank the Gujarat Government for their support in setting up the plant. With the fourth plant, we aim to reach closer to the vast market in West which contributes over 25% to Honda business. The new plant will employ approximately 3000 people within first 2 years of commercial production and will entail INR 1,100 crores investment. Honda’s fourth plant 1.2 million units annual production capacity and increase our overall production capacity to 5.8 million units.”
With a presence in more than 40 countries globally, Honda’s worldwide 2wheelersales volume was 17 million units in FY’2013-14. For the first time, India’s contribution crossed the 20% mark globally, making India 2nd largest contributor globally in FY’2013-14.

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