Recently launched City to boost Honda Thailand’s eco car sales

Recently launched City to boost Honda Thailand’s eco car sales

KUALA LUMPUR: Honda has launched the fifth-gen City in Thailand just two days ago. The new powertrain of the car now meets the country’s Phase 2 Eco Car framework, that includes criteria like CO2 emissions below 100 gm/km, Euro 5 rule, fuel consumption not surpassing 4.3-litre/100 km and several safety standards such as ABS, EBD, BA, and VSA.

Honda City eco car

The second phase of the eco car scheme was announced in 2013, following the first phase in 2007. The Thai government started the scheme 12 years back to attract car manufacturers to invest more in eco cars. Carmakers like Honda, Nissan, Suzuki, Mitsubishi, and Toyota were the major investors who also signed up for the second phase. In addition to these, Mazda also joined the class and it is now on the top position of sales chart along with Toyota.

Honda City cabin

However, according to reports, Honda somehow failed to meet the production demand in the first phase. Sales of Brio hatchback and Brio Amaze reduced to 2,132 units in 2018 from 6,195 units in 2014. Pitak Pruittisarikorn, Honda Thailand’s COO also admitted that Honda failed to meet the requirement of manufacturing 400,000 eco cars.

He said “Honda decided to end the first phase this year, so the privileges from the Board of Investment (BoI) Honda received under the first phase will be calculated on our actual output since 2011. The limited sales volume of eco cars was caused by market competition and sentiment of the six carmakers in this segment.”

Honda City rear

To fulfil that gap in phase two, Honda has started to make new eco cars. Reportedly, this is the main reason why Honda has made City an eco car. In its previous generation, Honda City was not an eco car. The fourth-gen outgoing model comes with an i-VTEC 1.5-litre four-cylinder engine and CO2 emission was 133gm/km.

It was also subjected to an excise tax of 20%. Now the fifth-gen Honda City eco car gets a downsized three-cylinder 1.0-litre turbo engine and the CO2 emission is now 99 gm/km. Moreover, it attracts 12% excise tax - and all of these are standard as Phase 2 Eco Car framework.

Also Read: Renault launches two variants of Koleos facelift in Malaysia

Purva Jain

Purva Jain

Purva is a crazy admirer of cars and she has got a lot of expertise in their detailing. Though, she has mastered in Economics but cars have always been her field of interest. She is an introvert in talking but when it comes to cars and the latest news regarding them she talks like hell. Exploring new cars as well as the vintage machines is listed in her hobbies while getting to know about the history behind the same are the things which she enjoys the most. She may seem silent from the outside but inside her is a volcano erupting to engulf the mean machines.

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