Project Today reported that Honda Siel Cars India a JV between Japan's Honda Motor Co and Siddharth Sriram Group Co Siel is planning to launch a second small car in India.

As per report, the small car will be placed in the B or B+ segment and will have a sub one liter engine. It will be rolled out of the company's Rajasthan facility in 3 years. Currently Honda cars fitted with 660cc engines under its K-series are sold only in Japan.

The report added that the company's small car plant in Rajasthan has already started the first phase of production where vehicle parts are being manufactured. In the second phase, the plant will start vehicle production during 2009. The company plans to make an investment of INR 1,000 crore at its Rajasthan plant. The initial capacity will be 60,000 units per annum which will be expanded up to 200,000 units per annum.