Honda Bikes to Source Auto Components from India

Honda bikes around the world are now expected to be powered by auto components sourced from India. Honda Motor Company of Japan intends to buy two-wheelers auto components from Indian manufacturers to gain competitive advantage on price without compromising on quality. “India’s scale, pricing and quality advantages convinced Honda that it made huge business sense,” stated a person close to the developments requesting anonymity.

Indian auto component manufacturers produce world-class components that already power four-wheelers in the country. Auto manufacturers like General Motors, Hyundai, Suzuki, Volkswagen and others already source auto components from India to keep their pricing under control.

Honda has two Indian subsidiaries, Honda Motorcycle and Scooters Limited and Hero Honda, which together sell nearly five million two-wheelers in India and hold nearly 40 percent of the market share in the country. Till now Honda had been sourcing its auto components from Thailand just like Toyota. Now Honda intends to make India as its global sourcing hub for its models across the globe. It will be new step from the company to gain competitive advantage in the two-wheelers segment.

• Honda India to cover up for Honda’s Thailand plant           January 19, 2012
• Honda asks India to send parts to foreign markets after Thailand suffers setbacks           January 16, 2012
• Honda all set to build India-specific brand identity           January 10, 2012
• Honda’s future cars to be lighter, cheaper and more fuel efficient           December 24, 2011
• Observing the success of rivals, Honda likely to roll-out a compact crossover soon           December 15, 2011
• Honda launches new 2012 City sedan with cost cut-down of Rs 50,000           December 15, 2011
• Honda Brio production to be resumed to normal levels by Feb-March 2012           December 14, 2011
• 2013 Honda Accord Coupe Concept to debut at Detroit Auto Show           December 14, 2011
• Honda suspends production of Brio hatchback as component shortage deepens           December 10, 2011
• Honda displays new AC-X concept plug-in hybrid at the Tokyo Motor Show           December 05, 2011
• Honda Motor Co. eyeing India to boost the sales of its mass market bikes           December 02, 2011
• Honda unveils new Micro Commuter Concept electric car           December 01, 2011
• Honda plans to launch new diesel cars for India as demand surges           December 01, 2011
• Thai government grants 8 month import duty waiver to Honda Motors           November 30, 2011
• Honda and Toyota tapping alternative sources as supplies for Thailand disrupted           November 26, 2011