Hero MotoCorp, India's largest two-wheeler maker, is seeking a bigger piece of the premium lifestyle motorcycles pie in India with the launch of Harley-Davidson X440, a fully indigenized 440cc motorbike it has co-created with the United States-based cult motorbike maker. The X440 motorcycle was launched at a starting price of Rs 2.29 lakh (ex-showroom).
“The focus is on Harley’s X440 for the Indian market ... We are going one step at a time, and this is for the first time that Hero has gone into this specific segment and worked with this engine size,” said Pawan Munjal, chairman, Hero MotoCorp.
Further, he said that the company would use the same 440cc engine to roll out its motorcycle from its Neemrana unit in Rajasthan, which will be unveiled in the January-March next year.
He acknowledged that the country's largest two-wheeler maker has a very small market share in the premium segment.
Shares of Hero MotoCorp Ltd surged more than 3 percent in early trade on July 4 after its partnership with Harley Davidson. At 11.51 am, Hero MotoCorp was trading at Rs 2,970, up 2.48 percent from the previous day's close. In the last six months, the stock has given an 11 percent return.
"Harley plays a very important role for us in this entire premium strategy. While we have put out some products there, which are very successful, with Harley, there is clearly a large amount of learning for us in the development of large-sized engines," news agency PTI quoted Munjal as saying.
Asked asked about the future roadmap of the collaboration with the American iconic brand, Munjal said: "We want to go out there and prove ourselves, get our customers, get them satisfied, get into large volumes, thereafter, we can always look at possibilities going forward."
Moneycontrol couldn't verify the report independently.
On exports of X440, Munjal said the focus remains on the domestic market, at present.
Industry body Society of Indian Automobile Manufacturers (SIAM) data demonstrates that sales of motorcycles with engine capacity ranging upwards of 250cc to 750cc, soared 38 percent last fiscal, more than double of the overall two-wheeler category.
Divulging details about the future roadmap of the collaboration with Harley, Munjal said the focus is on the successful launch of the Harley Davidson X440.
"We want to go out there and prove ourselves, get our customers, get them satisfied, get into large volumes, thereafter, we can always look at possibilities going forward," the Hero MotoCorp chief told the news agency.
In Pics: Harley-Davidson launches X440, jointly developed with Hero MotoCorp
Jochen Zeitz, president and CEO, Harley-Davidson, said that the American company’s brand had been “out of reach” for a lot of customers in India.
“It is in the premium segment, but it is much more achievable because it is not in the 975ccplus segment. It is a 440cc bike with a character uniquely Harley,” Zeitz emphasised.
In 2020, Harley closed its production unit in India and exited the country. However, in the same year, it inked a pact with Hero MotoCorp to develop and sell a range of premium motorcycles under the Harley-Davidson brand.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
