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Just recently Hero MotoCorp joined hands with EBR of the U.S. and now the company has partnered with AVL of Austria to develop its own engines. This tie-up with AVL is independent from EBR. AVL (Anstalt für Verbrennungskraftmaschinen List) is an automotive consulting firm and is the largest privately owned company for the development of engines. AVL is played a vital role in the development of the 2.2-litre mHawk engine found in the Xylo E9, Scorpio, XUV500 and the 2.2-litre DICOR engine found in the Safari, Aria. The tie-up with AVL will help Hero MotoCorp in developing its own engine research capabilities, which will result in the company being self reliant as far as technology goes.
Hero MotoCorp’s tie-up with AVL has already commenced and both companies are working towards developing engines for future Hero motorcycles. Hero MotoCorp has already send a team from its R&D department to Austria while another team is working with AVL’s India Technical Centre in Gurgaon. Currently Hero is looking at developing its own 100cc engine, which would power the Dawn, Splendor, Pleasure and Maestro. Soon the company will start work on its own 150cc engine as rivals are upgrading to better technology, resulting in more power and higher fuel efficiency.
However this tie-up with AVL is not limited to the current engine sizes available on Hero bikes. Hero is not only looking at developing its own range of 100-225cc engines but is also looking at engines above this size. The company plans to launch new products in the near future and is also looking at bringing in upgrades to the current range. This will play a vital role for Hero to go global and sell its range of 2-wheelers in other international markets. Currently Hero has very little presence in global markets, largely due to the restrictions it faced being in a joint venture with Honda. Going global will help Hero in increasing its revenue drastically, while at the same time diversifying its geographical reach.
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