Honda Undecided On Operations In 2nd Plant

Honda India has not yet decided on starting assembly operations at its second manufacturing facility in Rajasthan. The company’s first plant near New Delhi has a capacity of 100,000 units and isrunning at only 60% capacity. In the first four months of the year, the company’s production fell close to 15% on the back of weak demand for its petrol powered cars. The second plant would have an capacity of 60,000 units per year with an investment of Rs. 100 crore.