The parent company of Royal Enfield, Eicher Motors, intends to invest Rs 1,000 crore in the motorbike industry in FY2024. The money will be used to establish the first electric motorbike factory for Royal Enfield and to increase its selection of gasoline-powered motorcycles.
“We are currently working on blocking capacities with suppliers, working with them to figure out our requirements and developing our product,” said B. Govindarajan, Chief Executive of Royal Enfield. “Later on, we’ll consider the capacity we’ll offer. We aim to produce unique electric motorcycles firmly rooted in the Royal Enfield brand. We have begun making significant expenditures and are committed to the infrastructure, testing, and development necessary for product development. We have established a sound product and technology roadmap, identified the items we must produce at what time, and begun working on the development cycle with all of our supply partners,” Govindarajan continued.
Royal Enfield is targeting the market for mid-weight motorcycles on a global scale to gain a larger market share. The company started CKD operations in Brazil in FY2023, and its exports surpassed the 1 lakh unit milestone. Thailand, Colombia, and Argentina are additional countries that import Royal Enfield motorcycles.
Royal Enfield has also been expanding its market share in India, which nearly reached 30% in the previous fiscal year. The bicycle manufacturer experienced an 18% rise in Q4 of FY2023.
