United Motorcycles to start its India Operations by July 2015!!
Snapshot: Lohia-UM JV to be at shop floors by July 2015!
We previously reported here that the United States based two wheeler manufacturer, United Motorcycles (UM Motorcycles) have entered a 50:50 joint venture with the Indian electric two-wheeler manufacturer, Lohia Auto group, to produce the bikes locally at the manufacturing facility located at Kashipur, Uttrakhand. The production will start around the second quarter of 2015 and will see an annual capacity of 1,00,000 units.
UM Motorcycles will be getting the complete range of their motorcycles in India with an investment of about Rs 120 crore and they have already invested a part of the amount for the manufacturing facility's production and R&D purposes. UM will offer the range starting from UM Xtreet, which like the name suggests, is a street bike, Renegade cruiser range, including the Renegade Commando and Renegade Limited, Renegade Sports and Renegade Duty.
UM has aggressive plans to set a strong foothold in the growing domestic motorcycle market. The manufacturer will start with about 50 dealers in the first phase of operations, which will mostly cover all metro cities. The bikes to be launched will have an engine capacity of 250-500cc, against the 200-230 cc that was announced previously.
Rajeev Mishra, Managing Director at UM India Two Wheelers Pvt. Ltd said in an interview with Motoroids, “The process has started to appoint the dealers. We are expecting the products to be available in showrooms by the end of July. The bookings would commence by end of June. We are planning to launch two models, one in 250cc and one in 300cc segment followed by 400cc. So it would be one model in every three-four months. In one year we are planning to launch about four-five models.”
UM International, through the joint venture, aims to foray into the burgeoning motorcycle market in India by offering consumers products, initially in the Cruiser category and subsequently in other segments. UM will also arrive with a range of merchandise and accessories through its dealerships and would give a helmet as a standard accessory with the motorcycles. The cruiser range will be competitively priced and will create a niche market for young consumers looking for an affordable products. Mishra confirmed that the prices of the initial models would hover in the 100,000-150,000 INR zone.
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