Bajaj Auto and Triumph Motorcycles have started developing new mid-capacity motorcycles priced below Rs 2 lakh that will be launched in 2022 to challenge the dominance of heavyweight Royal Enfield.
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The Indo-British collaboration will explore the 200-750cc bike category to offer multiple product options across different segments. Eicher Motors-controlled Royal Enfield is looking for a world-wide dominance in the same segment.
Some of Triumph’s products such as the Bonnevile has the same lineage as the Royal Enfield’s Classic range. There is no competition for Royal Enfield in the mid-capacity cruiser category in the price band of under Rs 5 lakh at present, which is where Triumph will look to lock horns.
New bikes developed using new platforms and new engines will be used for Triumph motorcycles, thereby bringing down the entry cost of the premium bike brand by one third. The current entry price of Triumph in India is around Rs 6 lakh.
The collaboration will combine strengths in design, technology, cost- competitive manufacturing and an intimate knowledge of key target markets to deliver a range of products. Harley-Davidson, the world leader in cruiser bikes is gearing to launch a baby cruiser powered by 250cc engine globally which will make its way to India as well.
Bajaj Auto will not use the same product or engine platforms for its own products as it already has platforms which it has and will be developing with Austrian street bike specialist KTM. Bajaj will take responsibility of selling Triumph bikes outside of India as well where Triumph has no presence.
Markets like Africa, Asia and Latin America where Bajaj has a strong distribution network will be used for selling the new Triumph bikes. Bajaj also has the option of exporting the kits of the Triumph bikes to be assembled at Bajaj plants overseas.
These new bikes will have a high degree of localisation that will be on par with a Bajaj Pulsar or a KTM Duke that is manufactured in India. The Triumph bikes will be made at the Chakan plant near Pune.
Rajiv Bajaj, managing director, Bajaj Auto, said, “The Triumph brand is an iconic brand the world over. So we are confident that there will be a huge appetite in India and other emerging markets for these new products.”
This is the first time in its 118-year history that Triumph has collaborated with another company. This is a non-equity based long-term partnership. The two companies did not divulge details of investments earmarked for the development of the bikes however Bajaj sources said that the ‘real investment will come in only post 2022 when additions have to be made for manufacturing and further product development’.
The existing 12 dealerships of Triumph will come under Bajaj’s distribution network. Also, the existing factory of Triumph at Haryana will continue to function even after 2022, top officials said to Moneycontrol.
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