Bajaj Auto has lined up another CNG two-wheeler launch shortly, CEO and managing director Rajiv Bajaj said on August 26, adding that the recently launched Freedom 125 motorcycle - positioned as the world's first CNG bike - is headed for 40,000 monthly sales by January 2025.
Speaking to CNBC-TV18, Rajiv Bajaj added that by end of the upcoming festive season, the two-wheeler major could see its clean energy vehicles portfolio cross the one lakh mark in monthly sales. The company now exports almost half of what it manufactures.
Clean Energy Offerings
Bajaj Auto will also be showcasing ethanol-based two and three-wheelers next month, and another CNG vehicle is being proposed to be launched by the end of the fiscal. Elaborating on the the clean energy portfolio at Bajaj Auto, Rajiv Bajaj said that two-wheeler major is only two percent short of leadership in the 125 cc segment. The push for clean vehicle is progressing well for the company, as it now contributes to around 25 percent of the current revenue, he added.
The recently launched Freedom 125 - a CNG-powered two-wheeler - has been gaining ground, with despatches for August, which will be the first full month of production, likely at 8,000-9,000 bikes for the month. Bajaj hopes this figure could rise to as much as 20,000 Freedom 125 motorcycles by next month, and may double soon from there. "By January, we should be headed to 40,000 Freedom bikes a month", said Rajiv Bajaj.
New Chetaks In the Offing
Rajiv Bajaj also confirmed that there is a new Chetak in the works, having expanded both the portfolio and distribution for the scooter since launch. Bajaj Chetak now claims to have a 18% market share in its segment. "There will be more Chetaks, and a new Chetak platform, early next financial year," Rajiv Bajaj said. The Bajaj Chetak is now almost neck-to-neck with TVS Motor's iQube, and sitting on close to 18 percent market share in the segment, said Rajiv Bajaj. After the festive period this year, buyers can expect a new affordable as well as premium electric scooter offering, within this financial year.
Scooters Over Motorcycle?
Bajaj sounded extremely upbeat on the prospects of electric scooters, with is where the company is staying focussed, he said. "Scooters in the EV format hold far more potential that motorcycles," he said, adding that the advantage that motorcycles had over scooters in the ICE format is now with EVs.
"As a company, we strongly believe that while scooters and motorcycles will both be popular, scooters in the electric format hold far greater potential than motorcycles. That's why there is nothing ultra about the sale of Ultraviolet, which is 5-10 motorcycles a month I believe, and there is no revolution that Revolt has caused. As for Ola, we will see what happens when they are in the market place. We are staying very focused on EV scooters now, that's the short answer," Rajiv Bajaj said.
Profitable Clean Energy PortfolioThe entire electric and clean energy portfolio at Bajaj Auto is already profitable, Rajiv Bajaj said. "If I take our not just our clean energy portfolio, which includes both CNG and electric, that's of course very profitable. But I were to take only the electric portfolio, which would include the vehicles that we make for Yulu, our associate company and a leader in micro-mobility, all the Chetaks, and the electric three-wheelers, I was surprised to understand from our CFO last month that this portfolio is already profitable," Bajaj said. At 36 percent market share, the company has also recorded leadership in the electric three-wheeler segment - the e-auto and e-cargo categories - Rajiv Bajaj added, citing data from the Vahan portal.
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