Honda in talks to market hybrid cars in India

12 October 2007

"We have just begun discussions with the ministry of heavy industries," a spokeswoman at Honda`s office near New Delhi said, adding, "Once the laws are in place, we can consider when and how we can begin sales."

Hybrid cars get better mileage than conventional gasoline vehicles but India, one of the world`s fastest growing car markets, is yet to put regulations governing hybrid vehicles in place.

Honda sells the Civic hybrid, its sole gasoline-electric model, in Japan, North America and Europe. The car can get up to 80 per cent better mileage than the Civic`s similar sized gasoline model.

India is one of the most fuel and cost conscious markets in the world where users are increasingly choosing the more fuel-efficient diesel powered cars.

Hybrids cost more than cars powered by gasoline or diesel and are difficult to sell without state incentives, Honda officials pointed out.

In India, Honda sells the City, Accord and Civic sedans and the CR-V crossover, all based on the gasoline powertrain.