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Honda discontinues production at Greater Noida facility

Industry sources said the plant would, however, continue to house Honda's corporate head office, spare parts division and research and development (R&D) centre among other functions

twitter-logoPTI | December 19, 2020 | Updated 19:30 IST
Honda discontinues production at Greater Noida facility
The automaker, which is a wholly-owned subsidiary of Japanese Honda Motor Co, had set up the Greater Noida plant in 1997

Honda Cars India Ltd (HCIL) has decided to pull the plug on production at its Greater Noida plant in Uttar Pradesh, sources said on Saturday.

The automaker, which is a wholly-owned subsidiary of Japanese Honda Motor Co, had set up the Greater Noida plant in 1997.

Industry sources said the plant would, however, continue to house the company's corporate head office, spare parts division and research and development (R&D) centre among other functions.

Also Read: Honda India announces year-end offers on BS6 vehicles; all you need to know

Meanwhile, the company declined to comment on the matter.

The automaker will now rely only on its Tapukara facility in Rajasthan to roll out its entire product range in the country, sources added.

HCIL had earlier this year initiated a voluntary retirement scheme (VRS) for its manufacturing line associates at the plant to increase productivity and efficiency.

The company used to roll out models like City, CR-V and Civic from the Greater Noida plant, which had a production capacity of one lakh units per annum.

Also Read: Auto slowdown: Honda sees more pain in future, says good festive season not enough

The Tapukara facility, on the other hand, has an installed capacity of 1.8 lakh units per annum.

The plant also produces engines which are exported to other countries.

HCIL had reported sales of 9,990 units in the domestic market in November, up 55 per cent from 6,459 units in November 2019.

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