Kawasaki, the Japanese performance bike manufacturer is planning to set up a plant in Chakan (Pune). After its split with Bajaj Auto, the giant manufacturer has to pull its assembly lines from the Akrudi based Bajaj facility. The reason behind was the launch of KTM Duke, which has turned the Bajaj Probiking dealerships into KTM dealerships and the Kawasaki product sales got hampered, right from the year 2012. The annually produced limit of 10,000 Kawasaki units completely wasted as the Japanese bike maker managed to sell only 1400 units, this year.
So, the plans for developing a plant can turn up a trump card for the company, as it will help to launch its products at an aggressive price sticker, which will attract a wide range of audience towards performance bikes. And, with this independent plant, the company could easily focus on dealerships expansion with an excellent hike of 30-40 percent this year.
A few days ago, Kawasaki has also made an announcement of increasing its products localization to cut the prices of 300cc and 650cc sport bikes. And, a recent report also seems to come true, which is suggesting the localization of entry level 300cc and 650cc sports motorcycles in India.
Currently, Kawasaki is offering its bikes via CKD channel, which with a minimalistic localization are being assembled in Pune. The report also propounds a vender base construction for Kawasaki products for future operations ease.
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If talked about the Kawasaki models, the Z250 is being manufactured with around 40 percent components sourced from India, while other siblings from Ninja series are equipped with only 25-30 percent locally purchased components. More localization will definitely confirm more affordable price stickers in the future.
Kawasaki, which is a popular name among middleweight performance motorcycles and its bikes at even cheaper prices will definitely bring a commotion in this slow pace process of localization. If the Ninja 300 prices get slashed by a considerable margin, it will make its rivalry interesting with the players such as Yamaha YZF-R3 and KTM RC 390.
The same can be witnessed in the case of the Ninja 650, Versys 650 and the Z650 prices, and the mentioned models are brand’s best options in their respective category and getting them at a reduced prices than earlier will attract an improved range of buyers.
On 31 March, the day when Kawasaki-Bajaj Auto alliance ended, the brand’s dealership count suddenly fell down from 300+ to just 12 dealerships. And, its business in India changed into a complete loss from all sides. This move could turn into a great one, to bring them back who were interested in buying Kawasaki motorcycle as the offered quality will be hurt from anywhere.
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The nearest source of the plans disclosed, “Kawasaki is looking into ways of localizing its 300cc and 650cc twin-cylinder engines in India. They might do so starting with the smaller components, which will eventually lead to more critical parts in near future. The 300cc and 650cc models together account for the bulk sales for the company in India currently”.