Is Honda partnering with Tata Technologies to build cars in India?
This could be the first time the Japanese carmaker has partnered with an Indian company to build products from the ground up.
- Jul 17, 2026,
- Updated Jul 17, 2026 9:12 PM IST
Japanese carmaker Honda, which was on the lookout for a local Indian partner, may have finally roped in homegrown engineering service provider Tata Technologies Ltd to develop cars for the domestic market.
In its earnings release for the first quarter of FY27, Tata Technologies said that a leading Japanese automotive OEM (original equipment manufacturer) has selected Tata Technologies for a full vehicle engineering programme.
This could be the first time Honda has partnered with an Indian company to build products from the ground up.
Homegrown automaker Tata Motors Passenger Vehicles holds 53.35% stake Tata Technologies, a product engineering and digital services company which began operations in 1989 as a unit of Tata Motors.
The deal comes weeks after Honda President and Global CEO Toshihiro Mibe on May 14 said the Japanese carmaker will proactively utilize external local development resources in India to introduce new models as fast as possible.
Honda’s car business has struggled in India with the carmaker’s market share has falling from 4% in FY20 to 1% in FY26.
Honda has struggled to align its products with Indian customer preferences, Mibe had said, adding that the company’s reliance on globally standardised specifications may not have suited local market requirements.
“We will proactively leverage external competitiveness and resources in areas that can increase our speed, flexibility and cost competitiveness, thereby strengthening the overall competitiveness of Honda,” Mibe had said.
Going forward, the company plans to develop products tailored specifically for Indian conditions—including climate, usage patterns and consumer preferences.
Starting from 2028, Honda plans to launch strategic models in India in two categories: vehicles under four metres in length, the largest volume segment in the country, and the mid-size category.
The Japanese carmaker is eyeing a comeback in the world’s third-largest car market by volume on the back of six new launches during the financial year 2026-27.
Honda is re-entering India’s premium sport utility vehicle space with the launch of the ZR-V, its flagship model for India. The ZR-V will be imported as CBU (completely built-up unit) from Japan in limited volumes. Honda was earlier present in this segment through the CR-V which was discontinued in 2020 due to weak demand.
Honda currently sells only three models in the country: mid-size SUV Elevate, mid-size sedan City and compact sedan Amaze.
Japanese carmaker Honda, which was on the lookout for a local Indian partner, may have finally roped in homegrown engineering service provider Tata Technologies Ltd to develop cars for the domestic market.
In its earnings release for the first quarter of FY27, Tata Technologies said that a leading Japanese automotive OEM (original equipment manufacturer) has selected Tata Technologies for a full vehicle engineering programme.
This could be the first time Honda has partnered with an Indian company to build products from the ground up.
Homegrown automaker Tata Motors Passenger Vehicles holds 53.35% stake Tata Technologies, a product engineering and digital services company which began operations in 1989 as a unit of Tata Motors.
The deal comes weeks after Honda President and Global CEO Toshihiro Mibe on May 14 said the Japanese carmaker will proactively utilize external local development resources in India to introduce new models as fast as possible.
Honda’s car business has struggled in India with the carmaker’s market share has falling from 4% in FY20 to 1% in FY26.
Honda has struggled to align its products with Indian customer preferences, Mibe had said, adding that the company’s reliance on globally standardised specifications may not have suited local market requirements.
“We will proactively leverage external competitiveness and resources in areas that can increase our speed, flexibility and cost competitiveness, thereby strengthening the overall competitiveness of Honda,” Mibe had said.
Going forward, the company plans to develop products tailored specifically for Indian conditions—including climate, usage patterns and consumer preferences.
Starting from 2028, Honda plans to launch strategic models in India in two categories: vehicles under four metres in length, the largest volume segment in the country, and the mid-size category.
The Japanese carmaker is eyeing a comeback in the world’s third-largest car market by volume on the back of six new launches during the financial year 2026-27.
Honda is re-entering India’s premium sport utility vehicle space with the launch of the ZR-V, its flagship model for India. The ZR-V will be imported as CBU (completely built-up unit) from Japan in limited volumes. Honda was earlier present in this segment through the CR-V which was discontinued in 2020 due to weak demand.
Honda currently sells only three models in the country: mid-size SUV Elevate, mid-size sedan City and compact sedan Amaze.