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Honda Cars India is working on a smaller car to give a tough competition to Maruti Suzuki Alto 800 and Hyundai Eon. The domestic arm of Japanese car maker is launching its much awaited Amaze sedan in the market on April 11.

According to a newspaper report, Honda India' s new low priced car will be launched below the Brio hatchback. The new Honda small car will reportedly compete with Maruti Alto and Hyundai Eon.

Toying with the new idea, Honda is stated to be wary of the fact that small cars are not always successful in India. The case of Tata Nano is a glaring example of it, but Honda is reportedly confident that the small car segment in India still has a great potential.

Presently, the company has given its entire focus on launching its first diesel car in India, Honda Amaze. After this launch, Honda is likely to concentrate on the future launches of cars like Brio diesel, City diesel, Jazz based crossover, and an entry level small car.

It may be noted that Honda Amaze will be officially launched in India April 11, 2013. The company has so far avoided revealing the price of the new car.

The dealers are anticipating a huge response for Honda's first diesel car. They opine that the new launch may revive sales and lost grounds for the car make. The upcoming model is reported to be the cheapest sedan from the Indian portfolio of Honda Cars so far.

Honda plans new small car to compete with Maruti Suzuki Alto 800, Hyundai Eon : Auto News, News - India Today