Indonesia became Honda’s main market instead of India

Indonesia became Honda’s main market instead of India

May 30, 2020 0 By autotimesnews

Recently, sales of motorcycles and scooters in India have fallen slightly, which is associated not only with coronavirus, but also with a decline in the economy. While the pandemic continues to hold back the Indian economy, manufacturers are cautiously opening factories – it will take time to get to the same level.

In Indonesia, motorcycle sales have not grown over the past few years, but the decline has been insignificant, which has allowed the country to become a key Honda market. Over the past fiscal year, the Japanese sold 4.7 million units of motor vehicles in India and 4.85 million units of motor vehicles in Indonesia.

The new BS-6 emissions standard in India is one of the other reasons for the recession, as manufacturers have to increase the cost a bit, the amount of insurance is growing, which, of course, negatively affects sales. Honda executives are optimistic. Us Motorcycle & Scooter India (HMSI) Vice President Us Guleria said: “More than 40% of those who asked about our products are interested in buying.”

By mid-May, just a week after the quarantine was weakened, HMSI immediately sold more than 10,000 units of motor vehicles, while only 1,200 out of 6,200 dealerships began working. On May 25, HMSI reopened the first plant in India, the other three will be launched in early June.