Mid-size mania: Indian car market's new battleground

In the past eight years, the mid-size SUV market has grown almost eight times accounting for nearly 22 percent of the PV market, and no auto maker wants to be left behind. Ketan Thakkar and Mayank Dhingra have the story.

- Ketan Thakkar and Mayank Dhingra

Honda Cars India premiered its much-awaited global SUV Elevate in the national capital this month. The unveil marked yet another alternative from an automaker that wants to regain relevance in the Indian market. This is an indicator of how the wind is blowing towards mid-size SUVs. The launch fills a critical gap in the portfolio of the sedan specialist — and expands the addressable market for Honda to over 30 percent of the market. A gap that had been all the more noticeable because of the fantastic boom that the segment has been witnessing.

The mid-size SUV (4.2-4.3 metres in length) has been conspicuous by its absence from the Honda stable due to the restructuring exercise undertaken by the Japanese company a few years ago. However, Honda has now righted this. Leaner, meaner and profitable, Honda aims to get back into the reckoning in the fast-growing passenger vehicle market in India with not one, but five SUVs by 2030.

The world premiere of the all-new Elevate in India is “a stamp of commitment to Honda's plans and aspirations for India,” said Toshio Kuwahara, President and CEO, Asian Honda Motor and Head of Regional Unit (Asia and Oceania), Honda Motor Company. Kuwahara expects India to remain a key pillar of future growth. “With the successful completion of restructuring thanks to Tsumara San (Takuya Tsumura, the President and CEO of Honda Cars India), we are now in a boosting mode or a growth path. Starting with the new Elevate SUV, we will try to recover everything, volumes, market share and profitability. We are also committing for four other SUVs beyond Elevate by 2030, so stay glued to Honda's progress in India,” assured Kawahara.