HMSI Enters Electric Mobility Market with Launch of ACTIVA e: and QC1 E-Scooters

Honda Motorcycle and Scooter India (HMSI) has entered the domestic electric mobility market with the launch of two e-scooters, ACTIVA e: and QC1. These scooters feature both swappable and fixed batteries. With this move, Honda joins established players like Bajaj Auto, Hero MotoCorp, TVS Group, and pure EV companies such as Ather and Ola in a segment experiencing 34% annual growth.

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The company plans to start accepting bookings for these new models from January 1 next year. Customers can expect deliveries to begin in February. However, HMSI has not disclosed the prices for these e-scooters yet. "Today is a very significant day as HMSI steps into the electric mobility space," stated Tsutsumu Otani, Managing Director, President & CEO of Honda Motorcycle & Scooter India.

Commitment to Sustainable Mobility

The introduction of these e-scooters aligns with Honda's global Triple Action to ZERO initiative aimed at achieving carbon neutrality by 2050. This strategy focuses on carbon neutrality, clean energy, and resource circulation. Otani emphasized that HMSI is dedicated to creating one of India's best EV ecosystems as part of their electric vehicle roadmap.

Yogesh Mathur, Director for Sales and Marketing at HMSI, noted that EV penetration has reached approximately 6%. He expects this momentum to grow as demand for reliable and sustainable electric products increases. Mathur highlighted HMSI's role in shaping the electric two-wheeler category by understanding customer needs.

Strategic Market Entry

HMSI believes now is the right time to enter the domestic market due to its 34% year-on-year growth. The company remains attentive to market trends and introduces products when opportunities arise. Mathur acknowledged that consumers face challenges such as charging infrastructure, range performance, battery life, and after-sales service.

Customers seek a trustworthy brand offering complete reliability, which HMSI aims to provide. The company's strategy extends beyond sales to include a comprehensive ecosystem encompassing charging infrastructure, sales, service, and customer experience.

Launch Plans and Infrastructure

HMSI will assess market response before setting prices for the two vehicles but assures they will be affordable. The QC1 model with a fixed battery will be available nationwide upon release. Meanwhile, ACTIVA e:, featuring a swappable battery, will initially launch in Bengaluru, Delhi, and Mumbai as part of a phased rollout through the Red Wing dealership network.

Within the first year, HMSI aims to capture 50% of the EV market share. Currently operating 6,000 sales and service touchpoints across India, over 1,000 main dealerships will be upgraded for electric vehicle sales and services. In Bengaluru alone, there are 84 EV swap stations expected to expand to 150 by March next year across Delhi, Mumbai, and Bengaluru.

Mathur mentioned that while the two-wheeler industry has seen high double-digit sales growth so far, it may experience lower double-digit volume growth due to new emission norms increasing vehicle prices.