JOIN USHonda to launch flex-fuel vehicle, EVs, battery-swapping infra
India’s No. 2 two-wheeler company Honda Motorcycle & Scooter India on Thursday revealed plans to foray into alternative fuel-based vehicles, electric mobility and battery-swapping infrastructure.
The move will make it the largest internal combustion engine-based automaker to come out with its own battery-swapping stations, pitting it against e-mobility startups such as SUN Mobility, Bounce and MoEVing.
Honda also aims to boost its export footprint to 40 countries in the current financial year, versus 34 countries in the year-ago period. To achieve this, it will establish its Manesar (Haryana) plant as a global resource factory for "making in India for the world", the company told reporters on Thursday.
Honda, which has expertise in working with alternative fuels in countries such as Brazil in the past decade, also plans a phase-wise implementation of flex-fuel technology in India which includes launching the "world's first ethanol-based vehicle" in its product portfolio.
"We are currently running tests on the flex-fuel technology here in India to see if the Brazilian technology matches the Indian emission standards," said Yadvinder Singh Guleria, Director - Sales & Marketing, HMSI.
India is the world’s fourth-largest automobile market. Indians lapped up as many as 231,338 two-wheeler electric vehicles in the financial year that ended in March 2022, versus 41,046 in the year-ago period, according to the Federation of Automobile Dealers Associations.
"A staggered implementation of flex-fuel technology and multiple EV (electric vehicle) model introduction in future will lead to an exciting journey ahead," said HMSI managing director and president & CEO Atsushi Ogata.
Since the entry-level motorcycle category continues to have a significant share in total two-wheeler sales in India, HMSI will also introduce a new low-end motorcycle in the commuter segment, Ogata added.
Honda will venture into battery-swapping infrastructure by setting up stations for electric two- and three-wheelers, starting in Bengaluru. It has tied up with Bengaluru Metro Rail Corporation and Hindustan Petroleum to set up stations at their premises.
The company will start setting up stations under the Honda e:swap brand, with seven stations expected to be set up in May as part of the first phase in Bengaluru. The company has already onboarded Greaves e-rickshaws and Atul Auto to integrate their electric three-wheelers with its battery-swapping technology.
"Battery-swapping is a much more convenient solution for two-wheelers and three-wheelers as it addresses the issue of range anxiety, cost of the vehicle and waiting time for charging and this will only accelerate the penetration of electric vehicles in India," Vijay Gyanchandani, lead analyst at S-Ancial Technologies told DH.
Honda's plans of launching flex-fuel vehicles and EVs will help it consolidate its leadership position in India in the scooters segment, boost its position in the motorcycle business and improve India’s position as a global export hub, he added.