Local media publications in India just reported Honda Motorcycle and Scooter India (HMSI) CEO’s announcements about plans to debut the automaker’s first EV product Activa in the country by March 2024.
Moreover, the company also plans to deploy charging infrastructures to its 6,000 outlets to aid its planned EV lineup for the Indian EV market. Interestingly, these locations will also have battery-swapping facilities.
What’s currently known about the EV?
Honda’s Activa EV is apparently a scooter with a non-removable battery and an expected maximum speed of 50 km/h. On the other hand, the second variant will be equipped with two removable batteries, as CEO Atsushi Ogata confirmed.
“The company started working on the first model around six months ago… It will have a top speed of about 50 km per hour.”
CEO Ogata
He also revealed that the new e-scooter’s platform would be new and different from its current ICE scooters.
Meanwhile, the following models are reported to follow in “a very short period,” as per the CEO.
Competition
Well-known companies like Ola Electric, Hero Electric, Okinawa, and Ather currently dominate around 60% of the Indian EV market.
Furthermore, major rivals like Bajaj Auto, Hero MotoCorp, and TVS Motors have already debuted their EVs before HMSI.
Nonetheless, CEO Ogata argued that HMSI was not delayed in developing its electric vehicles.
“Our market share in total two-wheeler sales in India is at its highest because of a very strong portfolio, efficient dealership network, etc. So, it (launching an EV) was not an urgent matter from a business point of view.”
CEO Ogata
Why penetrate the EV market?
HMSI still dominates the Indian scooter market with a share of 56%. Its move to penetrate the EV market is said to be a part of its long-term strategy of around 10-20 years. Most especially, the EV industry will offer further business prospects and profitability for the company while supporting clean mobility.
However, CEO Ogata noted that the HMSI prioritized EV scooter production over electric motorcycles.
The Federation of Automobile Dealers Associations (FADA) revealed that India’s two-wheelers segment recorded sales of 15.38 million units. Remarkably, CEO Ogata expects the segment to hit 20 million unit sales by 2028.
