Honda Siel Cars India Limited introduced its “small car” for the emerging markets, specially designed for India. The car is still being called an “India-specific small car”. The new model goes on sale exclusively in Thailand and India in 2011.

The car is expected to be powered by 1.0L VTEX engine. It may even feature the same 1.2L petrol engine that currently powers the Honda Jazz. The car will be priced below Rs. 500,000, said Koichi Kondo, Executive Vice President of Honda Motor Co. “We are delighted to unveil the Honda New Small Concept at the 10th Auto Expo. India has been the hub for the compact car segment and is also the lead country for our research and development work on the New Small Concept. The new model based on this concept will be a global car with features to suit the needs of Indian customers. We plan to launch this car by 2011,” he added.

Honda’s new small car is being looked at as a strategic model that will enable the company to gain much wanted foothold in the Indian car market which is largely dominated by small cars. “With its commitment to provide technologically advanced vehicles, the Honda New Small Concept is a ‘true Honda’ – futuristic design with maximum cabin space. The ‘Efficient Energetic Exterior’ based on front-forward design lends the Honda New Small Concept an appealing dynamic presence,” stated the official press release from Honda Siel Cars India Limited.

Final technical specifications, price and mileage details will be available when Honda finally launches the car in India.

Honda’s other Japanese competitors are also planning to launch their small car models in India shortly. Nissan will launch the Micra hatchback model and Toyota will make its Etios available soon as well.