Looking for a new car? Well you'll be spoilt for choice. Honda is getting ready to regain its top spot in the mid-car segment with the all-new Honda City.

Competition is speeding up in the mid-size car segment. Honda has launched an all-new variant of their mid-size car City to combat the growing threat of SX4 and Logan.

Honda launched their new city on the day of its 10th anniversary. The prices of the car have also crept up marginally.

"Competition is always welcome, It gives us an opportunity to improve ourselves. We never get into a price war. We are targeting the savvy customer. There is lot of competition but there are also lot of customers for the Honda brand," said Masahiro Takedagawa, President & CEO, Honda Siel Cars.

And competition or not Honda is going all out to expand. Honda will invest Rs 900 crore in its Greater Noida plant. It will pump in another $230 million in the new Rajasthan Plant, which will be ready by 2009.

The company also plans to bring in Hybrid cars, a first for India, very soon. The mid price car segment is becoming more and more competitive everyday.

Honda was the dominant player a few months ago, but after Maruti's SX4 and Renault's Logan Launch, it has lost its leadership position. The re-launch of the City is another step by Honda to protect its leadership position.

Source: [url=http://economictimes.indiatimes.com/News/News_By_Industry/Auto/Honda_launches_new_City_variant/articleshow/2363864.cms]Economic Times[/url]