India Kawasaki Motors (IKM) plans on setting up its own factory in Chakan, Pune after it pulls out its assembly operations from Bajaj Auto’s Akurdi factory following the split between the two manufacturers on April 1, 2017.
Since 2009, Bajaj Auto’s Probiking network which has over 300 showrooms was responsible for sales and services for Kawasaki’s motorcycles. But ever since the KTM 200 Duke was launched in 2012, Bajaj Probiking showrooms turned into KTM dealerships. Kawasaki was reportedly upset as this resulted in a customer overlap as Kawasaki sales were hampered. The company’s annual production capacity at the Akurdi plant is close to 10,000 units annually but Kawasaki sold only 1,400 units in 2016.
India Kawasaki in recent news said that it was planning to begin localisation by incorporating production of smaller components for its 300cc and 650cc motorcycles which will lead to more local parts in the future. Kawasaki’s 300cc and 650cc bikes include the Ninja 300, Ninja 650, Versys 650 and Z650. IKM is also working to increase their dealer network, by 30-40 percent this year.
Source: Autocar Professional