Honda‘s Siel Cars India plans to build a new manufacturing site in Rajasthan at a cost of over $230 million.
The new site will be spread across 600 acres of land and will have an initial production capacity of 60,000 cars per year.
In addition to the car manufacturing facility, which will be spread across 400 acres, the new site will also have several suppliers, spread across an area of over 150 acres.
The planned capacity of the plant is likely to be over 200,000 cars per year, and the plant is scheduled to roll out the first car by the end of 2009.
Honda’s current manufacturing unit at Greater Noida, Uttar Pradesh, already has a production capacity of 50,000 units which will be expanded to 100,000 units by the end of this year. With the new Greenfield project in Rajasthan, the company’s total capacity will increase to more than 150,000 units by 2010.
Major processes at the plant will include a press shop, a weld shop, die-casting shop, machine shop, paint shop and assembly operations. The new plant will be modelled on the lines of Honda’s latest global plants, and will operate under ISO 9001 standards for quality management and ISO 14001 for environment management.