Honda Motorcycle & Scooter India is poised to make significant strides in the electric vehicle (EV) market with the upcoming launch of its first electric scooter, based on the iconic Activa, codenamed K4BA. This initiative marks a major milestone in Honda’s strategic shift towards electric mobility, aligning with the growing demand for eco-friendly transportation solutions in India.
Enhancing Production Capacities
To cater to the increasing demand for both internal combustion engine (ICE) vehicles and electric models, Honda has expanded its production capabilities. This includes the addition of two new manufacturing lines at its facilities in Gujarat and Karnataka. The Karnataka plant is set to begin production of the eagerly anticipated electric scooter by December 2024.
Ambitious Growth Targets
Honda is aiming for a robust double-digit growth rate of over 15% for the fiscal year 2024-25. The introduction of a third production line at the Gujarat factory is expected to boost the company’s output by about 660,000 units annually. With these expansions, Honda is positioning itself to reach a production volume of over 5.75 million units in FY2024-25, approaching its previous peak of 5.9 million units recorded in FY2018-19.
Electric Mobility Focus
The strategic decision to launch an electric version of the Activa stems from Honda’s commitment to sustainable development and its response to the increasing environmental concerns. The new EV model, K4BA, is designed to combine the trusted performance of the Activa with the benefits of zero-emission technology. This scooter will feature:
- Local Production: Both the electric motor and batteries will be manufactured locally, supporting the ‘Make in India’ initiative.
- Battery Options: Honda is exploring both fixed and swappable battery systems to enhance convenience for users.
Market Recovery and Expansion Plans
Aligning with the market’s recovery post-health crisis, Honda is not only focusing on the electric segment but also continues to innovate in its traditional motorcycle and scooter segments. The recent launch of the Shine 100 has already seen positive customer reception, and more new models are expected in the pipeline.
Future Outlook
With the establishment of a dedicated manufacturing line for electric vehicles within this fiscal year, Honda is well-prepared to meet the future demands of the Indian market. The Activa-based electric scooter is expected to play a pivotal role in this strategy, potentially setting a new benchmark in the electric two-wheeler space.