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Honda is a popular brand among the young and has been in the top three of the Honda brand rankings for the past 20 years, with several models that have won various awards. It is easy to see why; its small, yet efficient engine, attractive styling and good comfort combine for a very attractive package.
But Honda cannot ignore the rising popularity of other names in the luxury car market. Recently, the Japanese manufacturer started looking to expand abroad. According to Reuters, Honda is preparing to launch a brand in China and other Asian markets, including India.
The Japanese company aims to reach over 200,000 units in the U.S. this year but this is all speculation due to the fact that it cannot reveal the total number at present because such a feat would make its sales figures appear inflated. “The target is probably in the neighborhood of 200,000. It is a goal to achieve in the first half. We are in discussions with distributors and it will be finalized by end of the year,” Honda’s chief Executive Yoshihiro Koga told Reuters.
The reason for this sudden interest is likely attributed to the fact that the Japanese market is growing. There will also be an increase in the use of SUVs such as the Honda Passat and the Toyota 86 in the country, which will also have a major influence on sales of Honda cars, according to analysts.
Honda said that after China, its main targets for 2014-2016 include Argentina, Colombia, France, Italy, Mexico, Russia, South America, and Brazil. It is now trying to expand production to India, Thailand and Indonesia in addition.
To read more about Honda’s plans, check out this article by Reuters’ John Bresnahan.
Sources: Bloomberg, Reuters
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