Business Standard

US cruiser firm UM to make In­dia a hub for bikes un­der 700cc

- T E NARASIMHAN

US-based mo­tor­cy­cle maker UM In­ter­na­tional, LLC is plan­ning to make In­dia a hub for bikes un­der 700 cc. The com­pany said in the next three years all the bikes un­der 700 cc and over 300 cc will be devel­oped and man­u­fac­tured in In­dia. The com­pany is plan­ning to set up a fa­cil­ity, along with a new re­search and de­vel­op­ment unit, in Ma­ha­rash­tra or Tamil Nadu.

Speak­ing to Busi­ness Stan­dard af­ter launch­ing Rene­gade Com­mando Mo­jave and Rene­gade Com­mando Clas­sic in Chen­nai on Mon­day, Jose Vil­le­gas, direc­tor, UM In­dia, said In­dia is be­com­ing a hub for pre­mium bikes and UM In­ter­na­tional is bullish about the coun­try not only as a mar­ket, but also as a play for global oper­a­tions.

"We will make In­dia a hub for de­vel­op­ing and man­u­fac­tur­ing ve­hi­cles which are more than 300 cc and less than 700 cc," said Vil­le­gas. At present, the com­pany has plat­forms to pro­duce up to 300 cc ve­hi­cles in In­dia. The com­pany is work­ing on dif­fer­ent en­gines and plat­forms for higher ca­pac­ity.

The com­pany, which has a man­u­fac­tur­ing unit in Ut­tarak­hand, ex­pects to achieve sales vol­ume of over 25,00028,000 units this fi­nan­cial year up to March 2018. Around 30 per cent is ex­pected to come from Clas­sic mod­els.

In the last 10 months since its in­cep­tion, the com­pany has sold around 10,000 units in the coun­try.

The pro­posed new fa­cil­ity, which will have the ca­pac­ity to make 120,000 to 150,000 units per an­num, will see an in­vest­ment of about ~100 crore.

He added, within a short span, the com­pany has achieved lo­cal­i­sa­tion of over 72 per cent and in the next 18 months the com­pany plans to achieve 100 per cent lo­cal­i­sa­tion, which will not only help the com­pany be cost-com­pet­i­tive, but also help make prof­its.

 ?? COM­PANY SITE ?? UM In­ter­na­tional’s new Rene­gade Com­mando 2017. The com­pany is plan­ning to set up a fa­cil­ity, along with a new re­search and de­vel­op­ment unit, in Ma­ha­rash­tra or Tamil Nadu
COM­PANY SITE UM In­ter­na­tional’s new Rene­gade Com­mando 2017. The com­pany is plan­ning to set up a fa­cil­ity, along with a new re­search and de­vel­op­ment unit, in Ma­ha­rash­tra or Tamil Nadu

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