|Honda Siel Cars India's second car plant to be located in Rajasthan|
|NEW DELHI, India, January 14, 2007 – Honda Siel Cars India (HSCI), has selected Rajasthan as the state for locating its second car plant in India.
A Letter of Intent to this effect was signed by representatives of HSCI and the Rajasthan government.
HSCI eventually selected Rajasthan because of its proximity to Honda’s biggest market (North and East account for about 45% of total HSCI sales), as well as logistics advantages and managerial convenience.
The second plant will manufacture Honda’s small car in the Indian market and will have an initial capacity of 50,000 units per annum.
HSCI is seeking an area of 500 to 700 acres for the plant and is in discussion with the Rajasthan government to shortlist suitable locations in the state.
Apart from the manufacturing unit, the new plant will also have a Suppliers’ Park, which will house Honda’s network of ancillary units.
The project will be the first of its kind for Rajasthan and will assist in the industrialization of the state with both upstream and downstream investments as well as large-scale employment generation.
In a statement on the occasion, Masahiro Takedagawa, President & CEO, Honda Siel Cars India said, “Honda has always been a good corporate citizen globally and has contributed to the societies it has operated in. We will bring the same corporate culture to the state of Rajasthan. We will contribute to the industrial development of the state and enhance employment opportunities through several avenues.”