- Royal Enfield 500cc bikes could be discontinued
- Haven’t brought expected sales volume for the company
- Upgrading them for BS-VI will prove uneconomical
Royal Enfield is likely to pull the plug on its 500cc model range in India, a report suggests. At the time of the BS-VI transition in April 2020, the bike maker will reportedly retain only the 350cc motorcycles while discontinuing the 500cc line-up.
The prime reason for the move will be the consistently falling demand of the 500cc portfolio, which consists of the Classic 500, Bullet 500 and the Thunderbird 500. As compared to the sales of their 350cc counterparts, these motorcycles haven’t registered a significant growth in domestic sales and exports over the past few years. Owing to this, upgrading these bikes according to BS-VI regulations, which requires a major investment, will prove uneconomical for the company. The revelation was made to LiveMint by four people aware of the matter, who remain anonymous.
Yet another major reason for the decline can be attributed to the introduction of the new 650cc twins, the Interceptor 650 and Continental GT 650. Despite being substantially costlier than the 500cc bikes, the 650 twins have been witnessing a rising demand with each passing month. Although the 650s are around Rs 40,000 more expensive than the 500cc models, they come equipped with a much more powerful engine and are a better package overall.
Royal Enfield will be rolling out the updated BS-VI-compliant 350cc models as they bring the majority of sales for the Chennai-based bike maker. Besides upgrading the powerplant, spy shots have revealed that the company will also bestow them with new styling and added features.
Source - LiveMint
