Japanese carmaker Honda on Tuesday launched an all-new version of its City sedan in India, including the first diesel variants of the car, priced between Rs 7.42 lakh and Rs 11.1 lakh (ex-showroom Delhi) as part of plans to strengthen its position in the country.

The company had discontinued the third-generation model of the car in November. The fourth generation of the sedan was unveiled globally on November 25.

Diesel variants of the new City will retail from Rs 8.62 lakh to Rs 11.1 lakh, while petrol versions are priced between Rs 7.42 lakh and Rs 10.98 lakh (ex-showroom Delhi).

"With the best of both petrol and diesel technologies available in Honda City, we are very confident about the success of the model, which will significantly contribute to our business growth in India," Honda Cars India Ltd (HCIL) president and CEO Hironori Kanayama told reporters.

The petrol variant of the new Honda City comes with the existing 1.5 litre iVTEC engine, while the diesel version sports the recently launched 1.5 iDTEC diesel motor.

The company had launched the first-generation Honda City in India in 1998 and has so far sold 4.3 lakh units of the car.

Honda Cars India Ltd posted a 29.49 percent increase in domestic sales at 5,493 units in December 2013.