Toyota, Honda rumored to be considering small car for the Indian market

Japanese auto major Toyota and Honda does not have a presence in the smaller car market in India. However, a report coming in suggests that both the companies are believed to be reworking their plans.

The compact car segment in India is largely dominated by Maruti Suzuki who sells around 50,000 vehicles on a monthly basis. That is a huge number and the world’s leading automobile giants are aiming to target some share of the larger pie.

Toyota had expressed their plans to launch the Daihatsu Boon in India but the company failed to justify the cost of the production of the car in India. Now, the latest news is that the company is developing an all-new price competitive small car for Brazil, Russia, India, and China.

Honda has plans to launch a hatchback version of the City, named Jazz. It is expected to be priced competitively and slotted against Suzuki Swift and Hyundai Getz. The popularity of Swift has shown that the Indian customer is willing to pay a price for a good premium class hatchback.