Honda was the first mass-market carmaker in India to launch a hybrid model, the City e:HEV, the brand is yet to launch its second model. The opportunity lies with the Elevate SUV as the City and the Elevate share the same platform but Honda is yet to launch a hybrid powertrain. We expect the Amaze to get the same as well. This means the Elevate hybrid will be priced at a premium, especially when rivals like the Toyota Hyryder and Maruti Grand Vitara offer hybrid models priced at Rs 16.66 lakh and Rs 18.43 lakh respectively (ex-showroom, Delhi). Honda globally has revealed three new hybrid powertrains, small and mid size. India could use these two easily.
Now, the Japanese company is considering higher-end models as part of its plans to expand its presence in India. “Generally, if we want to expand our business in India, we have to do it locally,” Tsumura said. The Amaze is a big step forward, but future technologies also need to be considered. When asked what hybrid technology the brand will focus on, Tsumura said, “Right now, we are considering electric models. In India, right now, it is a hybrid.”
To meet the CAFE III standards that will come into effect in 2027, Honda will have to choose between hybrid and electric vehicles. “While developing the Elevate, we had to choose between developing other hybrid or pure electric vehicles at a pace that would meet the [CAFE III] standards. We decided that launching BEVs on the Elevate platform would be essential to meet the standards. But for other vehicles, future models, we have decided to adopt hybrid technology.
On the other hand, Tsumura also highlighted the hurdles in implementing hybrid technologies. He said, “Unfortunately, in India, the tax incentives for hybrid vehicles are very low, the difference is only 2%, so we decided to work between BEVs being one type and hybrids being another.”
As we have mentioned before, Honda is developing a new global platform (codename: PF2) for some of its Indian-made models, and it is being designed as hybrid vehicles from the ground up. The seven-seat SUV on the platform will arrive in 2027, with all-electric and hybrid engines, while the next-generation city car (which will also use the same platform and possibly also be electric) will arrive in
2028.
