Honda to scale two-wheeler production to 80 lakh units by 2028, expand exports

Honda Motorcycle and Scooter India (HMSI) is significantly scaling up its manufacturing capacity in India, with company president and CEO Tsutsumu Otani confirming plans to increase output across its four Indian plants from the current 62.5 lakh units per year to 80 lakh units by 2028.

1. CB350 already being exported to Europe; CB500 being evaluated as the next export model
2. Africa, Central America and South America identified as key future export markets

HMSI production and export plans

The expansion is expected to create over 2,000 jobs

Otani said the expansion over the next 18-24 months is aimed at serving both domestic demand and a growing export business. “With the eight-million-unit capacity planned in 2028, we will be well equipped to handle customer demand for ICE or EV products,” he said. The company’s current production is already running at full capacity.

On the export front, HMSI has begun shipping India-made models to Europe, starting with the CB350, for which, Otani said, the “sales situation is also very good”. The CB500 is being evaluated as the next potential export model, although he described these plans as being at an early stage.

Beyond Europe, Otani highlighted Africa, Central America and South America as important future markets, with Africa singled out as particularly significant. “India’s geographical proximity can provide an advantage in serving the African market, especially if one were to factor in transportation costs,” he said.

To support its export ambitions, HMSI is also looking to deepen localisation. Otani acknowledged that several components currently undergo final assembly in India but rely on parts imported from Thailand, Japan and Europe. “We intend to accelerate localisation and manufacture more in India as our next step,” he said, adding that resource circulation and the recycling of steel and aluminium remain areas the company is working through, given India’s limited domestic supplies of these materials.

Source: ET Auto