Hero MotoCorp -to enter production in Brazil and Argentina!
Snapshot: The Indian Giant is gunning for world dominance with production at Brazil and Argentina!!
The Indian giant has been on an expansion mode since it went all alone after the JV with Honda ended. The super cash rich Hero MotoCorp has, in recent couple of years, collaborated with EBR for engine technology, has just opened up their new plant at Rajasthan to boost up the local production. Not only this, Hero has already started construction of its wholly owned manufacturing facility in Colombia and will become the first Indian two wheeler maker to have manufacturing presence in Latin America. Talking to PTI Mr. Pawan Munjal, MD and CEO, Hero Motocorp, said that the company will set up a plant in Brazil, and is also planning to manufacture products in Argentina.
The regulations in the aforementioned nations are so designed to encourage foreign automakers to establish local manufacturing facilities to be price competitive in the market. Mr. Munjal added that Hero is planning to enter the Brazilian market around the time of the 2016 Rio Olympics. It fits Hero's part of its ongoing overseas expansion, planning to setup manufacturing plants in Brazil and Argentina, two of Latin America’s largest two-wheeler markets.
It should also be noted that Brazil is one the the countries which are on the fore front of using and retailing flex-fuel, with almost all manufacturers present in the country having their engines tunes to utilize the flex-fuel technology. During one of his earlier media interactions, Mr. Munjal suggested that the world’s largest two wheeler maker in terms of volume, will develop flex-fuel engines which runs on ethanol blended petrol irrespective of the proportions for Brazil in association with its powertrain partner AVL Austria.