Honda Motorcycle and Scooter India (HMSI), the Indian arm of the Japanese auto major, will commission its first dedicated electric two-wheeler manufacturing facility at Narasapura in Kolar district, Karnataka, with an investment of ₹600 crore.
Investment Snapshot
- Investment Size: ₹600 crore
- Location: Narasapura, Kolar district, Karnataka
- Capacity: Dedicated EV manufacturing facility, adjacent to HMSI’s existing 2.4M unit plant
- Focus: Domestic + export markets for electric scooters
EV Push in India
The new facility will manufacture Honda’s Activa e: (with swappable battery system) and QC1 (fixed battery, 80km range). Both models are currently assembled at Narasapura but will now move into full-scale EV-focused production. Honda’s shift aligns with India’s rapid adoption of urban EV mobility and is expected to create significant employment opportunities in Karnataka’s automobile sector, according to Industries Minister M. B. Patil.
Strategic Partnerships
The investment follows an MoU signed at Karnataka’s Global Investors Meet, where the state positioned itself as a hub for clean mobility and advanced manufacturing. During the delegation’s visit to Japan, discussions also involved Mitsubishi Electric, Yokogawa Electric, Tokyo Electron, and Restar Holdings, highlighting synergies in semiconductors, CNC systems, and advanced electronics.
Market Outlook
India’s EV two-wheeler market is projected to surpass 6 million annual sales by 2030, with urban commuters driving demand. Honda’s entry with a dedicated EV facility signals a deeper mainstreaming of electric mobility, moving beyond pilot models to scale and export readiness.
Final Take
With its ₹600 crore commitment, Honda is not just electrifying scooters—it is anchoring India’s position in the global EV supply chain. For Karnataka, this strengthens its claim as a natural hub for EV, semiconductor, and advanced manufacturing investments.
Explore more startup insights and funding news at Startupstoryindia
