Honda Mobilio Production Ends — What Went Wrong For Honda's MPV Dream?

Honda has ended the production of the Mobilio MPV, owing to weak demand. Now, Honda is looking at alternate steps.

By Rajkamal

Updated: Friday, March 3, 2017, 17:00 [IST]

The Honda Mobilio production has come to an end, as demand for the MPV fell. Honda Cars India has stopped manufacturing the vehicle and has exhausted stocks.

Honda Mobilio Production Ends Owing To Weak Demand

Last month, Honda failed to sell even a single unit of the Mobilio MPV in India. Speaking to PTI, Yoichiro Ueno, the CEO and President of Honda Cars India said, "There are new safety regulations coming from this year."

"The current Mobilio does not conform to regulations. So, to continue selling the vehicle, we need to put in a lot of investment or modification of the model."

Since the sales volume of the Mobilio is not much, Honda is studying as to how much investment is required to make the MPV compliant with latest regulations.

The Honda Mobilio was launched back in the year 2014, and the carmaker managed to sell 40,789 units of the Mobilio in India. The Honda Mobilio competed with other cars in the segment such as the Maruti Suzuki Ertiga and the Renault Lodgy.

The good news is, however, Honda will decide in the next two months as to relaunch a new version of the Mobilio in India or not. The new version of the Honda Mobilio is on sale in Indonesia, and Honda will decide if the vehicle should be launched in the country or not, depending on the cost involved.