Parts and platform sharing is the name of the game in the car industry across the globe as car makers seek to drive down development and production costs. Volkswagen has the MQB platform and its derivatives, which will allow the German car brand to built everything from the humble Up! hatchback to the next generation Porsche Cayenne SUV. Similarly, platform sharing has been witnessed amongst brands like Mercedes Benz, which has the MFA platform underpinning its entry level luxury car models and Ford, which has the B-Car and C-Car platforms.
Honda will jump onto the platform sharing brigade for the next generation models of its best selling cars like the Civic, CR-V and Accord. Come 2015, Honda plans to begin the platform sharing exercise, in which parts of the next generation models like the CR-V, Civic and Accord will be shared.
Currently, the Civic and CR-V do share about 20% of their parts. However, the Accord doesn’t share parts with both the CR-V and the Civic. This will change with the next generation model as Honda seeks to share almost 50% of the parts, in value terms, between the CR-V, Civic and the Accord.
Given that 40% of Honda’s global sales come from the Civic, CR-V and Accord, the high level of parts sharing will mean that the car maker will be able to save a chunk of money. Also, the platform sharing could mean that these cars could be priced more competitively than before. Later this year, Honda will showcase the versatility of the next generation Jazz platform, which is expected to play host to a hatchback, a sedan and a crossover. All these cars based on the Jazz platform will arrive into India beginning from 2014.
Similarly, Honda has used the Brio platform, that is targeted at emerging car markets, to build cars like the Brio hatchback and the Brio Amaze compact sedan. The Brio Amaze compact sedan, powered by petrol and turbo diesel engines, will be launched in India by the middle of 2013. Honda also plans to build an MPV based on the Brio platform, targeting countries in South East Asia. Given these developments, we expect Honda to have three major platforms in the future: The Brio platform for emerging markets, the 2014 Jazz/Fit platform and the next generation Civic platform.