Honda Reaches 500 Million Global Two-wheelers, Eyes Major Rs 920 Crore Expansion In India

Honda has achieved a monumental milestone by manufacturing over 500 million motorcycles and scooters worldwide since its inception in 1949. This remarkable figure underscores the company’s enduring dominance and innovation in the two-wheeler industry. Notably, the 500 millionth vehicle was produced in India—a testament to the country’s pivotal role in Honda’s global strategy. As India emerges as Honda’s largest market, the brand is ramping up production capabilities and planning significant investments to meet rising demand and embrace electric mobility.

India at the Heart of Honda’s Production Network

Honda currently operates 37 manufacturing facilities across 23 countries, with an aggregate annual production capacity exceeding 20 million units. India plays a crucial part in this network, with four factories collectively producing over 6 million two-wheelers annually. To bolster this capacity further, Honda is preparing to add a fourth assembly line at its latest factory in Vithalapur, Ahmedabad, Gujarat.

This expansion, projected to be operational by mid-2027, will add an additional 650,000 units per year, elevating the Vithalapur plant’s total output to 2.61 million units annually. This will make it Honda’s largest two-wheeler manufacturing hub worldwide. The plant is also notable for being the world’s biggest scooter-only facility, assembling one Activa every 20 seconds on average. The company is investing approximately Rs 920 crore in this ambitious project, signalling its confidence in India’s market potential.

Activa: The Iconic Scooter Leading India’s Market

The Honda Activa remains a cornerstone of the brand’s success in India. Since Honda began local production in 2001, the Activa has become the country’s bestselling scooter, with annual sales around 2.5 million units. This scooter alone has contributed enormously to Honda’s local milestones, including the production of 70 million two-wheelers over the past quarter-century.

This overwhelming popularity has cemented India as one of Honda’s strongest markets globally. It has also justified Honda’s substantial investments and strategic plans to expand its footprint further in the country.

Embracing the Electric Future: Honda’s EV Plans in India

Honda is preparing for a transformative shift towards electric mobility, with India playing a critical role in this transition. The company intends to launch at least one new electric two-wheeler model globally every year. Crucially, India will serve as the development and production hub for Honda’s modular electric vehicles starting from 2028.

To support this green initiative, Honda plans to establish local manufacturing of electric batteries and motors at its existing Karnataka facility. Moreover, a dedicated EV manufacturing plant will be set up within the Narsapura industrial campus, expected to begin operations in 2028. These initiatives reflect Honda’s commitment to sustainability and its vision of leading the electric revolution in emerging markets.

Honda’s Strong Global Market Presence and Export Reach

Honda commands an impressive 40 percent share of the global two-wheeler market, which sees annual sales of approximately 50 million units. The company exports its products to over 60 countries, including regions across South Asia, Central and Latin America, and several developed economies. This extensive export network further bolsters Honda’s position as a leader in two-wheeler manufacturing and innovation.

With the upcoming expansion in India, the company is well-positioned to strengthen its supply chain and meet the growing global demand more efficiently.

Looking Ahead: Growth and Innovation Drive Honda’s Strategy

Honda’s remarkable production milestone is more than just a number; it highlights decades of engineering excellence, market insight, and consumer trust. India’s increasing importance in this journey is evident through continuous capacity expansion and focused investment in electric mobility infrastructure.

As the company enhances its manufacturing capabilities and introduces new models designed for evolving consumer preferences, Honda aims to maintain its leadership in the two-wheeler segment while spearheading the adoption of electric vehicles. This strategy promises to deliver innovative products and sustainable mobility solutions for customers across the world.