With its new project “ACE,” Honda Cars India, which has made exports a crucial strategic pillar for the growth strategy of its internal combustion engine (ICE) SUVs, will become an electric vehicle hub. According to sources, ACE, or “Asian Compact Electric,” would be operational by 2026 and between 50 and 70 percent of the cars made in India will be shipped to important international markets like Japan.
New information on the Honda Elevate-based EV
Numerous sources with knowledge of the matter claim that a product codenamed DG9D, with a possible annual volume of one lakh units, is currently under discussion as part of numerous new models being planned for the Indian market in the future. A Honda Cars India representative responded by email, saying, “We are unable to comment on any future product or its business strategy due to confidentiality as a policy.”
Honda declared at the introduction of the all-new Elevate that it intended to use India as an export hub going forward and that it planned to have a portfolio of five SUVs in the nation by 2030. The company had previously stated that its first electric vehicle (EV) would be available in two to three years and would be built on the Elevate platform. Like one of its competitors in the rapidly growing midsize EV SUV market, the Hyundai Creta EV, the Elevate-based EV will be an ICE-converted derived EV.
Senior executives from Honda Cars India Ltd (HCIL) acknowledged to Autocar India on the fringes of the 2023 Japan Mobility Show that the retooling of its Tapukara, Rajasthan facility for EV production will start in 2024. Given the anticipated export quantities, the corporation might consider making more investments, including building up capacity, in the nation.
Although the facility can now handle a new model line because of its available capacity, Takuya Tsumura, president and CEO of Honda Cars India, has affirmed that an increase in capacity is undoubtedly planned. It’s also not ruled out to go back to a second facility, but if that happens, it would happen much later on and depend on the numbers reached.
Honda has acknowledged that more money has been set aside for this new EV and other EVs, even if it hasn’t disclosed a precise figure. “We intend to continue advancing our electrification, and as we’ve previously stated, we will introduce a BEV within the next three years, so naturally there will be some investment for that,” Tsumura stated.
Designed in India Export-only Honda electric vehicles
This boost in production capacity will support both local sales and, once the EV enters production, exports of the Elevate, which have not yet started. In actuality, the EV is anticipated to be a worldwide model similar to the Elevate, with far more markets for export than the City and Amaze. At the global launch of Elevate SUV, Toshio Kuwahara, President and CEO of Asian Honda Motor and Head of Regional Unit (Asia and Oceania), Honda Motor Company, highlighted the significance of India’s place in the world economy by stating that he expects Elevate to help increase the country’s export volumes.
A representative for Honda Cars India revealed that the Honda Elevate, which will make its debut in India in 2023, will premiere under the WR-V brand in Japan in the spring of 2024. The model will be produced in India and sent to Japan, a first for HCIL. This calculated action reflects the manufacturing prowess of our operations in India and furthers our goal of turning the nation into a major export base for Honda products. The spokeswoman said, “We apologise, but at this time we are unable to provide an update on the export volume.
