Localisation helps Honda launch new, cheaper CRV

New Delhi: Lusting after the new Honda CRV? Though the fourth generation CRV still comes with a petrol powertrain, it’s now yours for about Rs 2.5 lakh less.

Honda Siel Cars India has continued with its policy of increasing localisation of its products which for the customer means a substantial reduction in prices.

Honda slashed prices of its flagship City sedan earlier, then of the Jazz hatchback and now, the CRV.

The utility vehicle market is 95 percent diesel. So the CRV will continue to be almost the lone ranger among SUVs since Honda Siel Cars India (HSCI) does not plan to bring the 2.2 litre diesel engine it has in Europe and will offer the petrol variant.

So for now, the CRV will come in four variants:

1. 2 litre manual transmission, the base variant. Prices now slashed to Rs 19.95 lakh from Rs 22.65 lakh earlier.

More from Business

Hyundai India’s Rs 27,870 crore IPO oversubscribed by 2.28X, largely driven by institutional investors How Indian fintech startups are driving Malaysia’s UPI-like digital payments revolution

[caption id=“attachment_622564” align=“alignleft” width=“380”] AFP[/caption]

2. The new 2 litre automatic which is priced at Rs 20.85 lakh.

3. The 2.4 litre automatic which now comes for Rs 22.4 lakh and was earlier priced at Rs 24.9 lakh.

4. The 2.4 litre automatic with touchscreen etc which is new and comes for Rs 23.85 lakh. (All prices are ex-showroom Delhi.)

Senior VP (Marketing and Finance) Jnaneshwar Sen said today that the prices of the CRV have been reduced because unlike earlier, HSCI is now assembling the car at its Greater Noida facility.

Impact Shorts

More Shorts

Chennai Ranks #1 in Challan Checks: ACKO Insights for Smarter Car and Two Wheeler Insurance Decisions

Tata Harrier EV vs Mahindra XEV 9e: Design and road presence compared

Earlier the car was imported as completely built units (CBU), which meant much higher customs duty was to be paid. It’s the custom duty relief which is being passed on to the consumer.

Murag Baig, an auto industry veteran, says that the CRV is unlikely to get HSCI volumes since it does not offer a diesel option and the UV market is primarily diesel.

“The CRV is typically bought by those who are image conscious and want to own the car rather than those who are looking to use it for commuter purposes. So the car will continue to sell the same way as it was doing before. If it was selling 100 units a month earlier, it may now sell a little more,” Baig said.

Sen said in the last decade that the model had been in India, it sold over 13700 units, which means averaging a little over 1,300 units every year.

He said the car will be made according to demand but brushed aside concerns over lack of a diesel option, saying the rapid dieselisation was the norm till now seems to be reversing.

But this is not a trend other car manufacturers are speaking about just yet to it remains to be seen if HSCI can do wonders with the new petrol CRV.

The company has lined up the launch of the 1.5 litre ‘Amaze’ sedan by April this year, its first diesel vehicle in India. Sen said there were no plans to bring diesel on any of its existing models (City, Jazz, Brio, Civic, Accord or CRV) as of now.

It is interesting to note that the new pricing of the CRV means it will overlap significantly with prices of the Accord luxury sedan. Sen said there were no plans as of now to alter the pricing of the Accord.

He was also candid about declining sales of the Civic sedan, saying the segment itself was witnessing a fall but the company will continue to sell the Civic at the current prices.

Now to some features of the new CRV. The 2 litre version offers a certified mileage of 13.7 kmpl whereas the 2.4 litre offers 12 kmpl.

Power in these two cars is 156 ps (6500 rpm) and 190 ps (7000 rpm). The car comes with a six speed manual transmission and five speed automatic and the higher versions come with features such as paddle shift (which can give manual control in an automatic), cruise control on the steering wheel, headlamps with washers and 17 inch alloy wheels.

The car is shorter by 30 mm (at 4545 mm), but higher by 5 mm (at 1685 mm) while width is the same as the third generation CRV.