Though this is very good news for Honda, it might turn out to be not so good news for people who are currently contemplating of buying the new Amaze. According to Daily Bhaskar, Honda India might increase the price of Amaze in the near future, and here is why.
The new Honda Amaze is now available at a waiting period of 3 months for the petrol model and 4 months for the diesel model. At current booking pace, this period is soon to cross 6 months or even more. This will result in a situation, which neither Honda nor their customers would like.
Honda Cars India manufactures the new Amaze at their 120,000 units a year plant in Greater Noida. They have not revealed, the total capacity which has been reserved for the production of Amaze, but they did say that depending on demand, production of Amaze can be increased (or decreased).
If you look at the total production output figures from Honda India in the last 12 months, it is only once, when they produced 10,000 units, which was for March 2013. This too was possible due to Amaze, as Honda had manufactured 2,552 units of the new sedan before its launch in April 2013, to tackle the first wave of bookings.
This means, that the 10,000 units per month production constraint with the launch of Amaze, Honda is not only going to see increase in waiting periods for the Amaze, but also for their other cars like Brio and City, which are seeing average sales of 3,000 units each every month.
Earlier this year, Honda India announced their plans to increase the output capacity to 240,000 units annually. But this will take time. Until then, the Japanese car maker will have to make sure their 10,000 units per month are divided amongst Accord, City, CRV, Brio and now Amaze.