Honda eyes 30% share in Indian two-wheeler market, sees potential to grow sales among women
Japanese auto major Honda is targeting a 30 % share in the Indian two-wheeler market by 2030, as it chases the goal to achieve half of global two-wheeler sales in the long term, according to a top official of the company's arm in India.
The company's arm, Honda Motorcycle & Scooter India (HMSI), sees huge potential to grow sales among female customers, who currently account for just about 10 % of the overall industry sales, HMSI President Tsutsumu Otani told PTI in an interview.
He also said that while the company sees a shift from internal combustion engine (ICE) to electric vehicles in the two-wheeler segment in the long term, bottlenecks around charging infrastructure and electricity supplies are major impediments at present."Considering the Indian market size, we want to achieve 30 % share in India by 2030," Otani said when asked about the significance of the Indian market in Honda's overall long-term goal to garner 50 % of global two-wheeler sales.
Currently, he said HMSI has a 27 % market share in the Indian market.
Otani said that already in the ASEAN region, Honda has over 80 % market share.Earlier in January this year, Honda Motor Co announced that the industry-wide global motorcycle (two-wheeler) sales, currently at a scale of 50 million units, are projected to grow to 60 million units by 2030, including electric vehicles.The company has set "a long-term target" for itself to capture a 50 % share of the global motorcycle market, including electric motorcycles.According to the Federation of Automobile Dealers Associations (FADA), the total two-wheeler retail sales in India stood at 1,88,77,812 units in FY25 compared to 1,75,27,115 units in FY24.
HMSI's retail sales in FY25 were 47,89,283 units against 40,93,895 units in FY24. It was the number two player after Hero MotoCorp, which clocked 54,45,251 units in FY25 and 53,97,315 units in FY24. Otani noted that Honda sees huge potential to tap female customers to increase its two-wheeler sales in India with increasing women empowerment and many of them entering the workforce."In India, the overall two-wheeler usage is mostly male, with 90 %, and females just around 10 %. It means the potential for two-wheeler sales to grow among the female customers is huge," he said.
When asked about the company's product pipeline programme for the Indian market to achieve the 2030 target, Otani declined to comment, but asserted that, being a global company, Honda has a range of products in its portfolio, which can be considered for India. Otani said the company will consider a wide range of technologies, including EVs and flex fuels, for the Indian market, considering the different consumer demands in different parts of the country.Honda had stated that it plans to introduce 30 electric models globally by 2030 to achieve the goal of increasing its global annual sales of electric motorcycle models to 4 million units by 2030.The company had also said it would strive to capture the largest market share in the electric two-wheeler segment in India, where it will begin operating a dedicated electric two-wheeler production plant in 2028.When asked if the company has finalised the location of the EV-only plant and investments for it, Otani said it has not been decided as yet.
He said in the long term, the shift from ICE to electric vehicles will happen in India, but at present, the bottlenecks around charging infrastructure and electricity supplies are major impediments.
( Originally published on Jul 20, 2025 )
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
&w=3840&q=100)
Business Standard
14 minutes ago
- Business Standard
Rupee skids close to record low as Trump threatens more tariffs
The Indian Rupee slid on Monday, towards its record low as US President Donald Trump ramped up pressure on India regarding their oil imports from Russia. The domestic currency opened 16 paise lower at 87.82 against the dollar on Tuesday, according to Bloomberg. The rupee has declined 2.6 per cent so far in the calendar year and recorded its worst monthly fall in July since September 2023. The rupee's record low stands at 87.95, touched in February this year. Trump, in the social media platform Truth Social, threatened to 'substantially' raise tariffs on Indian goods, accusing the country of profiting from the resale of Russian oil and ignoring the human toll in Ukraine. India, however, dismissed Trump's remarks, calling them 'unjustified and unreasonable.' The Ministry of External Affairs (MEA) stressed that India's energy ties with Russia are driven by national "necessity" and are far smaller in scale compared to trade between Russia and the West. The domestic currency remained under pressure and is likely to stay weak this week after Trump signalled the possibility of higher tariffs on India for continuing to purchase Russian oil, according to Anil Kumar Bhansali, head of treasury and executive Director at Finrex Treasury Advisors LLP. "The currency has also faced sustained pressure from foreign portfolio investors (FPIs) following Trump's earlier announcement of 25 per cent tariffs on all Indian exports, despite ongoing trade talks." FPIs remained net sellers for teh 11th straight session on Monday, selling equities worth ₹2,403 crore in the previous session. In this calendar year so far, global funds have sold stocks worth ₹1.03 trillion, as per NSDL data. The rupee closed at 87.6550 on Monday and is expected to open at a fresh low of 88 on Tuesday, following Trump's latest remarks specifically targeting India, Bhansali said. Exporters may continue to sell at current lows, while importers are likely to adopt a wait-and-watch approach, he said. "Market participants will closely monitor the Reserve Bank of India's stance on the rupee's new levels in today's session." Meanwhile, the focus will be on RBI Governor Sanjay Malhotra as the Monetary Policy Committee (MPC) begins its meeting yesterday, August 4, to decide on key interest rates. The RBI is likely to remain status quo as per a Business Standard poll, with all analysts expecting a further reduction in the 2025-26 (FY26) inflation forecast. The dollar index, the measure of the greenback against a basket of six major currencies, was up 0.07 per cent at 98.84. In commodities, crude oil prices extended their three-day fall amid looming trade tensions between India and the US. Brent crude price was down 0.29 per cent at 68.56 per barrel, while WTI crude prices were lower by 0.33 per cent at 66.07, as of 9:15 AM IST.
&w=3840&q=100)
Business Standard
14 minutes ago
- Business Standard
BHEL bags new 'Buy' from UBS with 40% upside; check target, outlook here
Shares of Indian public sector undertaking, Bharat Heavy Electricals Ltd (BHEL), received a new 'Buy' coverage from UBS, citing that the Street is underappreciating the firm's earnings capability. Analysts at UBS assigned a target price of ₹340 per share for the stocks, implying an upside of over 40 per cent from the previous (Monday) close. The company's thermal orders are set to reaccelerate with a potential for bottom-line acceleration, UBS said in a report dated August 4. Further, the government's 80 Gigawatts (Gw) target in new thermal capacity by the financial year 2032 (FY32) implies 35 Gw of orders in FY25-28. "With an 85 per cent market share in FY17-25, we believe BHEL is best positioned." The heavy electrical equipment maker's competitive positioning in thermal power remains robust, reflecting its leadership in the past three decades, UBS said. The brokerage expects an order inflow of ₹2.1 trillion in FY25-28, driving a 1.6 times growth in the order book by FY28, it added. The company saw early benefits of execution pickup, UBS said, which drove Ebitda breakeven from FY21 to FY25. "With the increase in capacity utilisation and execution over FY25-28, we expect BHEL to improve gross and Ebitda margins, led by cyclically better product margins and operating leverage." UBS believe BHEL is well positioned to benefit from the uptick in new thermal projects, which is expected to drive robust revenue and Ebitda CAGRs of 33 per cent and 84 per cent, respectively, over FY25-28. "In our view, the consensus is underestimating BHEL's earnings potential, leaving room for possible earnings upgrades." "While we think consensus prices in rising orders, it underappreciates bottom-line translation," UBS added. Key risks to UBS's views include delays in execution ramp-up and fewer new order wins. BHEL share price history The company rose as much as 2.6 per cent during the day to ₹247.9 per share. The stock pared gains to trade 2.2 per cent higher at ₹247 apiece, compared to a 0.2 per cent advance in Nifty 50 as of 9:30 AM. Shares of the company rose for the second day and currently trade at 2.3 times the average 30-day trading volume, according to Bloomberg. The counter has risen 8 per cent this year, compared to a 4.3 per cent advance in the benchmark Nifty 50. BHEL has a total market capitalisation of ₹84,057.01 crore. About BHEL BHEL is among the leading power plant equipment manufacturers in the country. The company specialises in the design, engineering, manufacturing, installation, testing, commissioning, and servicing of a diverse array of products and services.
Economic Times
14 minutes ago
- Economic Times
Siemens Energy shares in focus after Q3 profit soars 80% YoY; company lines up Rs 280 crore expansion
Shares of Siemens Energy India are set to be in focus on Tuesday after the company posted an 80% year-on-year jump in net profit for the June quarter, its first earnings report since listing in June, and announced a Rs 280 crore investment to expand manufacturing capacity amid surging order inflows. ADVERTISEMENT The company reported a net profit of Rs 263 crore for the third quarter of FY26, compared to Rs 146 crore in the same period last year. Revenue from operations rose 20% YoY to Rs 1,785 crore. The sharp rise in profit after tax was attributed to a significant increase in new orders, which surged 94% to Rs 3,290 crore. Robust demand was recorded across both domestic and export markets, the company said in an exchange filing. Revenue growth was supported by a strong and healthy order backlog. The Q3 profit margin stood at 17.6%—in line with the normalised margins seen in the first half of the fiscal—and up from 13.3% in the year-ago quarter. The margin excludes favourable one-time impacts and stamp duty or other transfer charges. The earnings were announced after market hours on Monday. Siemens Energy India shares closed at Rs 3,235.50 on the NSE, up 2.10% from Friday. The company also announced plans to invest Rs 280 crore in a phased manner to expand its manufacturing capacity for high-voltage switchgear products at its Aurangabad facility. Siemens Energy said the expansion will help meet growing demand for power transmission equipment in both Indian and global markets. ADVERTISEMENT "We continue to add capacity in our Power Transmission business to serve the increasing demand for high-voltage switchgear products—not just in India but globally," said Managing Director and CEO Guilherme Mendonca. "With this investment, we are proud to demonstrate our continued commitment to supporting India's energy transition and the Government of India's Make in India and Aatmanirbhar Bharat vision." This was Siemens Energy India's first quarterly result since its listing on June 19. The company is promoted by Netherlands-based Siemens International Holding B.V. ADVERTISEMENT Commenting on the earnings, Mendonca said: "New orders grew by an exceptional 94% on the back of a strong domestic market and rising exports. A healthy order backlog and continuous operational excellence helped the company deliver robust results for the quarter and for the nine months of the fiscal year."Siemens Energy India provides solutions across the energy value chain, including power generation, transmission, and storage, through a portfolio spanning gas and steam turbines, hybrid power plants powered by hydrogen, power generators, and transformers. ADVERTISEMENT Also read | NSE reaches Rs 40 crore settlement with Sebi over data disclosure case (Disclaimer: Recommendations, suggestions, views, and opinions given by the experts are their own. These do not represent the views of The Economic Times) (You can now subscribe to our ETMarkets WhatsApp channel)
