Honda for clarity on government policy to move into EVs

GREATER NOIDA: Japanese auto major Honda said on Wednesday that it will wait for clarity in the policy for electric vehicles (EVs) in India before firming up its plans for the segment.

“In order to stitch up a strategy (for EV segment), we are requesting to have a roadmap regarding plans of charging stations... Without a clear policy, it will be difficult to select models,” Honda Cars India (HCIL) President and CEO Yoichiro Ueno told reporters here. Only after there is clarity, the company would be able to assess whether such vehicles could be manufactured in the country, he said.

Terming the establishment of charging infrastructure as the biggest challenge in the EV space in India, Ueno said that in a big country like India a combination of various kinds of EVs, including photo-electric and plug-in hybrids, would be beneficial. He said the company is also requesting the government to reduce the tax difference between small and big cars. “The tax benefit favours small cars. We are requesting the government to moderate tax structure. Then we can bring more models to meet the requirements of various customers,” Ueno said. With rising incomes, demand for premium cars would be much higher in the country going ahead, he added.

When asked about the sales growth outlook for the next fiscal, Ueno said the company expects to grow better than the industry. “The industry is expected to grow by 6-7%. We aim to grow higher than that,” he said.

On new launches, Ueno said the company is assessing the introduction of the HR-V model SUV in India.