Hero Honda has reported record sales in the past few months. The company is facing a capacity crunch due to the high demand it is facing on its motorcycles. Things are only set to get worse as Hero Honda plans to expand into global markets post its break up with Honda. Thus a fourth plant is on the anvil and the company will announce both the location and the investment details for its new facility in the coming weeks. Currently, Gujarat and Karnataka are in the run to manufacture bikes from the world’s largest 2-wheeler manufacturer.
“For 2012-13, we will certainly need a fourth plant. In the next few weeks or months, we will be talking about the fourth plant. We will announce everything when the final decision is taken. We are in the final stages of the process,” Anil Dua, Hero Honda, Senior VP, Marketing and Sales, said.
