The average Indian motorcycle enthusiast who had been bereft of options for so long might see a flurry of...
The average Indian motorcycle enthusiast who had been bereft of options for so long might see a flurry of motorcycles in the 250cc category regarded as one of the most potential bike segment in India. While there is buzz in the market about the impending launch of Honda’s CBR 250R, now it has been reported that the Korean bike brand Hyosung 250cc performance and cruiser bikes will be launched next year for under Rs 200,000 each, to compete directly against CBR 250R and the Kawasaki Ninja 250R.
It is not the first time for Hyosung though as the one of the popular but few in numbers Comet, a 250cc motorcycle which was launched by Kinetic Motors before being shelved, which is being remembered fondly by the motorcycle enthusiasts. Now Hysoung is on its second innings and the Pune based Garware Motors is presently setting up a completely-knocked down (CKD) assembly facility in India for importing two models, the ST7 and GT 650R from Hyosung. Garware is spending Rs 20 crore towards the CKD facility being built at Wai in Maharashtra. It has acquired 25 acres, which can be used for expansion
According to a report in Business Standard, Diya Garware Ibanez, managing director, Garware Motors was quoted as saying “We are discussing with SNT Motors (owners of the Hyosung) to see how the volumes work out for our two models. We will follow the launch with the naked version of the GT 650R later in the year, followed by the 250cc models next year. With regard to pricing of the 250cc, we have to be right up there with the best selling models like the (Honda) CBR 250. Other models of Hyosung could also follow, as there is a big portfolio of models to choose from.”
The report stated that Garware will open bookings for the ST7, priced at Rs 600,000, and the GT 650R, priced at Rs 550,000, on April 21, with deliveries to start by May end. The company will accept bookings at 10 dealerships which will be opened shortly, followed by an additional 10 outlets to be opened later in the year. It was also mentioned that although engines, transmissions and gearboxes for the Hyonsung bikes will initially be imported into the country from Korea due to the low volumes projected during the first year, they may get locally made in due course if demand improves substantially.
Since there is some big buzz around performance motorcycles now, the bikes are expected to sell in good numbers. The report mentioned that Garware is expecting sales of around 2,000 units of the two models in the first year.”We may have to go in for local production of engines to benefit from the lower tax duty if there are enough volumes supporting it,” stated Ibanez. But now since the company is going for the CKD route, the revised rules of the finance ministry that all imports of pre-assembled engines, transmissions and gearboxes will have to pay a customs duty of 30 per cent as against 10 per cent levied last year will be a bit of a burden.
Garware is also looking at neighboring markets too and the report stated that the company is in talks with distributors of Nepal, Sri Lanka and Bangladesh for sales of Hyosung bikes. Hyosung had recently appointed a distributor in Nepal, which is keen on procuring the bikes from Garware due to lower duties.
The average Indian motorcycle enthusiast who had been bereft of options for so long might see a flurry of motorcycles in the 250cc category regarded as one of the most potential bike segment in India. While there is buzz in the market about the impending launch of Honda’s CBR 250R, now it has been reported that the Korean bike brand Hyosung 250cc performance and cruiser bikes will be launched next year for under Rs 200,000 each, to compete directly against CBR 250R and the Kawasaki Ninja 250R.
It is not the first time for Hyosung though as the one of the popular but few in numbers Comet, a 250cc motorcycle which was launched by Kinetic Motors before being shelved, which is being remembered fondly by the motorcycle enthusiasts. Now Hysoung is on its second innings and the Pune based Garware Motors is presently setting up a completely-knocked down (CKD) assembly facility in India for importing two models, the ST7 and GT 650R from Hyosung. Garware is spending Rs 20 crore towards the CKD facility being built at Wai in Maharashtra. It has acquired 25 acres, which can be used for expansion
According to a report in Business Standard, Diya Garware Ibanez, managing director, Garware Motors was quoted as saying “We are discussing with SNT Motors (owners of the Hyosung) to see how the volumes work out for our two models. We will follow the launch with the naked version of the GT 650R later in the year, followed by the 250cc models next year. With regard to pricing of the 250cc, we have to be right up there with the best selling models like the (Honda) CBR 250. Other models of Hyosung could also follow, as there is a big portfolio of models to choose from.”
The report stated that Garware will open bookings for the ST7, priced at Rs 600,000, and the GT 650R, priced at Rs 550,000, on April 21, with deliveries to start by May end. The company will accept bookings at 10 dealerships which will be opened shortly, followed by an additional 10 outlets to be opened later in the year. It was also mentioned that although engines, transmissions and gearboxes for the Hyonsung bikes will initially be imported into the country from Korea due to the low volumes projected during the first year, they may get locally made in due course if demand improves substantially.
Since there is some big buzz around performance motorcycles now, the bikes are expected to sell in good numbers. The report mentioned that Garware is expecting sales of around 2,000 units of the two models in the first year.”We may have to go in for local production of engines to benefit from the lower tax duty if there are enough volumes supporting it,” stated Ibanez. But now since the company is going for the CKD route, the revised rules of the finance ministry that all imports of pre-assembled engines, transmissions and gearboxes will have to pay a customs duty of 30 per cent as against 10 per cent levied last year will be a bit of a burden.
Garware is also looking at neighboring markets too and the report stated that the company is in talks with distributors of Nepal, Sri Lanka and Bangladesh for sales of Hyosung bikes. Hyosung had recently appointed a distributor in Nepal, which is keen on procuring the bikes from Garware due to lower duties.
No comments:
Post a Comment