Kawasaki denies localisation rumours and confirms won’t have more engine components manufactured locally.
Kawasaki has denied media reports that it would be increasing the amount of localised content its motorcycles’ components, including certain parts of the engine of its 300cc and 650cc engines. Officials at Kawasaki too have confirmed that it won’t be happening anytime soon.
Both the 300cc and 650cc engines are parallel-twin units that power the Ninja 300, Ninja 650, Z650 and Versys 650. All these motorcycles are imported as completely knocked down units and are assembled here in India and these are the models that form a bulk of Kawasaki India’s sales. Increasing the localisation of engine components and other motorcycle components will indeed reduce prices, making the bikes more affordable by passing the price advantage to its customers but Kawasaki has denied any such plans.
Kawasaki currently exports these models from Thailand and owing to the Free-Trade Agreement between India and Thailand, Kawasaki says it is anyways passing the price advantage to its customers. Earlier this year, Kawasaki upgraded several of its models for 2017. The Z900 replaced the Z800, new Ninja 650 and naked version of Ninja 650, the Z650 were launched, the ER-6n was discontinued.
India Kawasaki Motors (IKM) recently broke its 8-year alliance with Bajaj Auto effective 1st April 2017. The alliance between the two companies covered sales and after-sales service for Kawasaki motorcycles from Bajaj Auto-owned Probiking network since 2009. Kawasaki is also planning to pull out its assembly operations from Bajaj Auto’s Akurdi factory in Pune and if sources are to be believed, Kawasaki is setting up its own plant in Chakan, Pune.
IKM, a 100 percent subsidiary of Kawasaki Heavy Industries Japan is building its own motorcycle assembly plant in Chakan and is planning to go solo by scaling up its operations and restructuring and expanding its retail network. Kawasaki doesn’t want to share any details on the proposed investments and the targeted annual production capacity as of now.
Kawasaki Denies Localisation
– Kawasaki has denied plans of increasing local content
– Kawasaki broke ties with Bajaj and is also planning to close assembly operations with them
– Kawasaki is considering the start of its own assembly plant in Chakan