Kawasaki is set to increase production of their motorcycles by opening production in India.
Not only will the move open new doors for both Kawasaki heavy industries and India itself, but Kawasaki dealers in the UK and dealers all over the world will also be welcoming dealers in Latin America and Africa, expanding the company’s export base.
With its flagship model Ninja, Kawasaki Heavy Industries plan to increase production of motorbikes to up to 10,000 each year. A plant opened in 2017 in Maharashtra, an Indian state in the west. The company also plans to source its components locally. In addition to this, the company also plans to expand dealerships in India. It accounts for over 30% of the company’s global motorcycle demand.
The company’s first plant in India measures around 10,000 square meters went live in September last year. However, even before the plant officially opened, the company has already commissioned Bajaj Auto for the assembly of 250cc and 650cc engine displacements.
In line with the move, many Kawasaki engineers based on Japan have already moved and been reassigned to India, trying to find ways to incorporate low-cost components manufactured locally into their models. These models that they are working on are targeted for emerging markets. All these efforts are all set to make the company more competitive in the Indian market.
The Indian company mentioned earlier, Bajaj Auto, together with other local Indian companies are already exporting to Latin America, and Kawasaki is hoping to enter the African and Latin American market as well.
According to Kazuo Ota, the head of the company’s engines and motorcycles division, Kawasaki is considering the demand for motorcycle models with 200cc displacements. He also hinted that the company might develop new models in the country as well.
The company hopes to increase the exclusive Kawasaki dealers in India by up to three times to up to 30 dealers by December 2020. Kawasaki also hopes to sell up to 5,000 motorcycles every year in India. The company is already selling as much in China.
Kawasaki sees India as an attractive market for manufacturers, making the competition tough. The United States has already penetrated the market through Harley-Davidson. Yamaha Motor has also opened scooter dealers in India last year, including Chennai and other cities.