After split up from Hero, Japanese two wheeler giant Honda invested a lot of money for its new plant in Gurgaon. Honda also increased the headcount of research & development engineers to innovate products for India. This move was to include global Honda R&D environment in India. The Japanese manufacturer is working on a developed-in-India two wheeler which will hit the market by next year.
Honda Dream Neo
A joint team of 200 engineers from Honda motorcycles and scooters India and Honda Research and Development India working on project since last 6-7 months. The results will be 100 % locally developed two wheeler for India. Exact details of this two wheels is unknown except its launch year i.e. 2014. When Yamaha, Bajaj and Hero are targeting the mass segment with two wheelers that are entry level and low cost, expect Honda to develop a similar product for the Indian market.
Honda launched the Dream Neo 110 and Activa-i low cost entry level products for India this year. Honda wants to become the market leader in two wheeler segment and has been launching one new product for every 3 months. Honda is also working on bigger bikes for India. The possibility of Honda launching the CBR400 range in India to rival the KTM Duke 390 is something that cannot be ruled out.
Honda uses the 109cc four stroke engine to power all its scooters. For its motorcycles, Honda uses engines from 110cc to 250cc for motorcycles. The newly developed two wheeler might include a 100cc engine with low cost price tag. After splitting up from Hero, the major concern of Honda was that of reaching sub-urban and rural areas of India, where Hero has a wide presence. So, Honda has signed up Akshay Kumar as its brand ambassador to advertise the Honda brand in rural and semi-urban India.