Global automakers look to sharpen Indian offensive

Companies like Honda, Nissan, Renault and BMW line up several new models despite slowdown in car sales for over a year.

Hyderabad: Unperturbed by slowdown in automobile sales in India for more than a year, global automakers are keen to launch more and more new car models in the country as a part of their long-term strategy to corner as much of Indian market pie as possible.

Foremost among them is the Honda Cars India Ltd which has announced its plans to launch three new models over the next one year. The Japanese carmaker, buoyed by success of its Honda Amaze compact sedan, is scheduled to launch the latest Honda City later this November. While Amaze marked the Japanese automaker’s foray into the high-volume diesel segment, the City premium sedan will be the second model from it to come with a diesel version. Besides, it will also launch second generation Jazz hatchback in 2014 followed by its much-awaited Mobilio multi-purpose vehicle (MPV) which is expected to take on Maruti Suzuki Ertiga, also an MPV.

“India is globally one of fastest growing market globally. In April, we launched Amaze and it resulted in major change of our market share from 2-3 per cent last year to almost 4-5 per cent now,” Yoshiyuki Matsumoto, President and CEO, Honda Motor India, said at the ongoing Tokyo Motor Show.

He further said Honda Cars India would expand its range in the country by launching three new models including Mobilio. With support of the new models, the automaker intends to increase its sales to 3 lakh units a year, a three-fold jump from 75,000 units in FY-13.

French carmaker Renault which tasted success in India through Duster sports utility vehicle has also announced plans to expand its model range. It now wants to bring in an MUV as well as a small car which will be priced below Rs 4 lakh. According to Gilles Normand, the company’s Chairman for Asia Pacific Region), Renault will focus on growing segments which will help it enhance its market share in the coming years.

“As the multi-utility vehicle (MUV) segment is registering faster growth in the country, we are exploring the possibility of entering that segment,” he said on the sidelines of the Tokyo show. However, its global alliance partner Nissan is not far behind when it comes to bringing new models into India. Recently, the automaker held global debut of its new brand Datsun in New Delhi. Targeted at emerging markets like India, models from Datsun brand will hit Indian market early 2014. “Our sales in India will increase to 1 lakh units a year from 37,000 units now once we launch Datsun models in India,” Kenichiro Yomura, President, Nissan India, told The Hans India recently.

Apart from these companies, luxury carmakers such as BMW are also bringing new models into the country. BMW India will soon launch third generation Mini small car which has its global debut recently in the UK. “The new Mini will be taller, longer and wider than the current models. It will be more fuel efficient as well,” a BMW India official said.