Yamaha, the Japanese two-wheeler giant, today announced the establishment of its fifth global research and development center in India and about its aim to roll out its first $500 motorcycle from the Indian market, making India the hub of cheapest motorcycles in the near future.
Apart, the company claimed that the $500 bike from Yamaha will be the cheapest motorcycle in the world and India will turn the center place of low-cost bike development, from where cheapest bikes will be exported to countries in Africa and Latin America.
Steps taken by Yamaha on this regard is for nothing but to compete with its arch rival the Chinese two-wheeler maker Honda, which is busy empowering its empire in both the Indian and Chinese market. And announced by the company, the first two cheapest models of Yamaha will be released into the market soon, probably in just a couple of years.
However, the task is not easy as Honda by now bagged has almost 19% share in the Indian two-wheeler market, following the huge market covering of its former partner and the leading two-wheeler maker in the local market, Hero MotoCop Ltd. Achievement of Yamaha in comparison is absolutely minute and hence the company eyes on making cheapest products so as to compete with the Chinese bike manufacturer.
As a first step towards its aim, the company will launch a new scooter model every year in the Indian market till 2016 and will set up its second Research and Development centre in the country with all facilities. Meanwhile, the company’s first R & D centre, established at Surajpur in UP, has already started work to launch its first cheap product in the country.
Informing the development, MD to YMRI (Yamaha Motor Research and Development India Pvt Ltd) Toshikazu Kobyashi said, they aim at developing the lowest cost model and lowest cost parts and the cheapest bike for users at around $500 for both India and foreign markets. The bike will carry an engine capacity of 100 cc, in order to maintain good balance and will be first launched in India.
Giving more info on the development, CEO of IYM Hiroyuzi Suzuki said that the company will start prioritizing on the commuter segment henceforth, instead of emphasizing on stylish and performance bikes in the country, which they think will increase their sell. He also added that the company aims at selling almost 7.1 lakh units of Motorcycles and Scooters in the year 2013, which was almost 4.9 lakh the previous year. Apart, the company aims at selling a bulk amount of 28 lakh units by 2018.
The company targets of touching 25 million units by 2020 and launching a scooter every year will make them able to grab a market share of 10% every year, said Suzuki. For the present time, Yamaha bears a solo scooter model intended to women. But in the coming days, the company will take care of launching scooter models which will be subjected to men and for family usage.