HMSI overtakes Bajaj as 2nd largest domestic two-wheeler maker
New Delhi: Honda Motorcycle & Scooter India has become the second largest two-wheeler maker in the country by volumes overtaking homegrown rival Bajaj Auto in the fiscal ended March 31, 2012.
According to figures released by the Society of Indian Automobile Manufacturers (SIAM) today, Honda Motorcycle & Scooter India (HMSI) sold a total of 26,06,841 two-wheelers, which included both motorcycles and scooters, in 2012-13, in the domestic market.
On the other hand, Bajaj Auto Ltd (BAL), which produces and sells only motorcycles, clocked sales of 24,63,863 units in the last fiscal in India.
In the previous fiscal of 2011-12, BAL was occupying a comfortable second place behind market leader Hero MotoCorp.
The Pune-based firm had sold 25,66,757 units in 2011-12 as against HMSI's 19,96,320 units in the same year.
Hero MotoCorp continues to occupy the top spot with sales of 59,12,538 units in 2012-13, SIAM said.
HMSI's growth in FY'13 has been fuelled by a quantum jump in its motorcycle sales, which stood at 11,86,726 units as against 7,71,715 units in 2011-12, up 53.78 percent.
During the last financial year, HMSI launched two new models -- CB Trigger and Dream Yuga. Besides, it also introduced its Dio, Activa and Aviator scooters with advanced engine technology.
On the exports front in 2012-13, BAL was racing ahead with sales of 12,93,231 units compared to just 1,47,931 units of HMSI, SIAM said.
For the ongoing 2013-14 fiscal, HMSI has set a target of increasing its sales by 42.7 percent to 39.3 lakh units, including exports, on the back of new product launches and fresh production capacities coming in.
HMSI's Japanese parent Honda Motor Co has been undertaking an aggressive strategy to increase its market share in the two-wheeler segment in India and challenge the number one position of erstwhile partner Hero with plans to produce 10 million units by 2019-20 that may entail the company having up to eight plants in India.
Honda's wholly-owned subsidiary HMSI is investing Rs 1,500 crore in setting up of its third plant in Karnataka, which is expected to be operational by the end of first quarter of this fiscal, taking the company's total production capacity to 40 lakh units annually.
The company currently has two facilities at Manesar and Tapukara in Rajasthan with annual output of 16 lakh units and 12 lakh units respectively.
HMSI has charted out strategy to accelerate the rate of new model launches, while lowering prices of the products by increasing localisation levels.