Honda launched its new version of sedan, Honda City in India today. The third generation model from Honda will be available in a price band of Rs. 7.9 lakh and Rs. 9.1 lakh. It will be available in three different grades with both automatic and manual transmission with a 1.5 litre i-VTEC engine.

Honda Siel Cars India Limited promises to retain its market leadership in its segment with its latest launches in the country. ``In a competitive situation, it could hurt some. But Honda will retain its leadership position,” said Masahiro Takedagawa, Managing Director and Chief Executive Officer, Honda Siel Cars India Ltd. He also asserted that the company needs to keep launching new position to maintain its top position. He also commented that despite the sluggishness of the auto market, the fundamentals of Indian economy are extremely strong which makes India as a promising market for the car makers.

Takedagawa also said that Honda will make its foray in the small car segments owing to the fact that the segment attracts heavy tax sops and accounts for largest sales of cars in India. ``There is no reason for us to wait. We have made up our mind. We will launch the hatch-back in Indian domestic market by the middle of next year,'' he said. Initially, the small cars would be made at the company's plant in Greater Noida.