Toyota Kirloskar Motors and Honda Motors have announced plans to launch a small car in India.
Toyota said it would launch a small car in the next 2-3 years as a part of its strategy to grab 10 per cent of the Indian automobile market by 2010.
"We still maintain the target of grabbing 10 per cent of the Indian automobile market by 2010, in which the small car will form a major chunk," Toyota Kirloskar Motors managing director Atsushi Toyoshima said on the sidelines of the SIAM summit.
"In the next two to three years we will bring a small car in India but as of now we have not finalised the plan," he said.
On the proposed second plant from where the small car is to be manufactured Toyoshima said, "We still haven't finalised the location and the investment."
The company is looking at 20 per cent sales growth this year at 50,000 units compared to 42,000 units last year.
Honda to launch small car in India
Honda Motors on Thrusday said it was looking at bringing in a small car in the Indian market for expanding its product portfolio.
"We are looking at a small car for introducing in the Indian market," Honda-Siel India president and CEO M Takedagawa said on the sidelines of SIAM summit.
He appreciated the government's move to cut excise duty on small cars by 8 per cent
Honda expects sales in India at 62,000 units this fiscal against 43,000 in 2005-06. Of this, 40,000 are expected of 'Honda City,' 16,000 of 'Civic,' and 3,000 each of 'CRV' and 'Accord,' Takedagawa said.