Honda Motorcycles feels slowdown in auto sector will continue

Honda Motorcycles & Scooters India introduced a variant of its popular scooter Activa that is compliant with BS-VI emission norms.

Published: 12th September 2019 08:06 AM  |   Last Updated: 12th September 2019 08:06 AM   |  A+A-


Honda Motor Co. headquarters. (File Photo | Reuters)

By Express News Service

NEW DELHI: India’s second-largest two-wheeler maker Honda Motorcycles & Scooters India (HMSI) feels that the prolonged slowdown seen in the automotive sector may continue till next year as the newer BS-VI emission norms will have a very significant impact on demand.

“The BS-VI implementation from April 1 next year may have an impact on demand similar to that when insurance premium on automobiles were hiked significantly last year,” said Minoru Kato, president, CEO and MD, HMSI. According to the executive, last year’s rise in insurance cost and general slowdown in economic activity have had maximum impact on the two-wheeler industry.

HMSI on Wednesday introduced a variant of its popular scooter Activa that is compliant with BS-VI emission norms. The 125CC-engine scooter will be available at a price range of Rs 67,490-74,490. The new vehicles are 10-14 per cent more expensive that the BS IV-compliant model, and the company expects similar hike in its over-a-dozen models when they make the transition to BS-VI norms. HMSI said that it may absorb some of the increased cost, but it would take some time for consumers to brace any hike in selling prices.

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