The small car segment, which is already one of the volume selling segments of India, got a push with the launch of the Renault Kwid hatchback on 24 September. Maruti Suzuki Alto and Hyundai Eon are also known to bring in pretty good sales for the respective manufacturers making the segment a hotbed for volume sales.

Honda Cars India is seriously considering entering the small car segment in India to meet the rising demand in the market reports The Economic Times.

"At Honda, we place priority on trying to listen to the needs, request from the customers from different regions. Therefore, if the region is showing strong demand for small cars we are always seriously considering possibilities," Takahiro Hachigo, President and Chief Executive Officer, Honda Motor Co. told reporters from India at the company's head quarters in Tokyo.

"This applies not only to India, but all of Asia, listening in to the demands for small cars. We are thinking of what kind of strategy we need to put in place for this category," he added.

When asked if the development is to go head to head against Maruti Suzuki, Noriaki Abe, the company's Chief Operating Officer for Regional Operations (Asia and Oceania) said, "it is very attractive to consider entry into small car segment, but it is of no use of coming out with same type of models like Maruti."

The words of Abe indicate that the upcoming Honda small car will be significantly different from the current small car available in the market. Renault recently found the sweet spot in the segment with the launch of Kwid. The Kwid stands out for its pseudo-SUV stance, class leading features and higher fuel efficiency in an affordable package. The upcoming Honda small car is also expected to take an innovative design to take on the rivals.

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