Kawasaki today officially entered the Indian market with the launch of its subsidiary called India Kawasaki Motors. India Kawasaki Motors is expecting its release of several supersport, sport and cruiser models primarily in the 250 cc class or greater to drive sales up to around 1,000 units in 2010. Kawasaki entered into a technical assistance agreement with Bajaj Auto Ltd. (BAL) in 1984. Under the agreement, BAL has produced and sold motorcycles in collaboration with Kawasaki. Kawasaki’s new imports and sales subsidiary, IKM will consign the production of CKD*1 motorcycles to BAL’s Chakan plant. The locally made motorcycles will then be sold together with imported complete motorcycles through BAL’s Probiking shops.
In 2009, motorcycle sales in India reached approximately 7.8 million units, making it the second largest motorcycle market in the world after China. The market for mid to large size motorcycles in the 201 cc class or greater (approximately 30,000 units) is expected to keep pace with India’s booming economic growth. Kawasaki will leverage the strong brand power of its mid to large size motorcycles in entering the Indian market.