Honda, the Japanese car manufacturer, has decided to postpone its previously announced investment plans. The company had planned an investment of Rs 1000 Crore for the current period aimed at establishing its second plant in India, at Tapukara in Rajasthan.
However, with the downturn in the global market, Honda decided to defer and review the investment plan. The industry is undergoing a tough time and the company refuses to approach the car market under these circumstances.
Out of Rs 1,000 Crore, Honda has already invested Rs 600 Crore for the establishment or the construction. The remaining Rs 400 Crore aimed at vehicle assembly is now delayed, hoping to have a good time in near future.
Honda already has one plant at Greater Noida in U.P from where the company is planning to roll out its proposed small car, Honda Jazz. At present the facility has a production capacity of 100,000 units and so the company is trying its best to use the facility in the best possible ways.