
Honda has revealed that it will adopt a multi-powertrain strategy in India. The carmaker is betting big on hybrids and is developing a new, cost-effective hybrid system for its future models. This will be more advanced than the strong hybrid (e:HEV) systems used by current models like the City, and would allow the manufacturer to price the new cars competitively.

From what we know, the next-generation hybrid system will use lighter battery packs and more energy-efficient electric motors. The overall efficiency is expected to be better than what’s offered by the current e:HEV system. The transmission will also see improvements. The next-generation system will also be easier to repair and have higher degrees of localisation.
Collaborations with local suppliers for key components like batteries and motors will bring significant reductions in the costs of locally produced hybrid models. e:HEV system prices could fall by more than 50%. Now, the most affordable strong hybrid Honda in India is the City e:HEV that costs Rs 20 lakh, ex-showroom.
This new system will arrive in 2027. The new mid-size SUV that Honda recently announced, will be the first to get it. We expect it to launch by 2028. Beyond this product, the new technology will also be used in multiple future Hondas- the next-generation City sedan, CR-V, the next-generation Elevate, and the new sub-four metre SUV that the company announced recently.

Firstly, the next-generation City, expected to arrive in 2028, will get the new hybrid system. Being a full generational update, the sedan will have major design changes, more feature additions and of course, the new and improved e:HEV powertrain.
Another expected launch is the new-generation Elevate SUV. It will also come with the new strong hybrid setup. The new mid-size SUV is another one likely to get the new setup.
The sub-compact SUV, expected to arrive by 2028, will also get the low-cost strong hybrid setup. When launched, this SUV will compete with models like Maruti Suzuki Brezza and Hyundai Venue.
Honda also plans to launch the next-generation CRV-hybrid in India. It will be powered by a 2.0-litre petrol hybrid setup. When launched in 2027, it is likely to sit above the ZR-V hybrid.

Honda’s mass-market (read low cost) hybrid push comes at a time when several other carmakers have openly announced their intentions to launch strong hybrid products in the affordable segments. Maruti Suzuki, Kia and Hyundai are all known to be developing hybrids. Maruti Suzuki, for example, is developing what is said to be the series hybrid version of the Fronx.
Kia is known to introduce strong hybrid versions of the Seltos and Sonet in the future. The Sorento, a larger SUV is also expected to be introduced with a strong hybrid powertrain. The Seltos and Sorento are likely to get a 1.5L hybrid petrol powertrain while a smaller 1.2L engine will form the heart of the Sonet’s hybrid setup. Rumour also has it that the Carens Clavis could also get a hybrid powertrain in the future.

Hyundai will launch the next-generation Creta in late 2026 or early 2027. This SUV is expected to retain the powertrain options of the outgoing model initially. Later, however, it will get a 1.5L strong hybrid powertrain- the same used in the Seltos hybrid. The Korean carmaker is also expected to launch a bigger strong hybrid SUV, currently codenamed Ni1i, sometime in the future.
The strong hybrid space is now relatively untapped, dominated by players like Toyota and its joint-venture partner Maruti Suzuki. The product onslaughts mentioned above will increase competition and boost adoption in the space.