United Motors aka UM Motorcycles – the US based two wheeler manufacturer which has presence in over 20 countries, has announced a 50-50 Joint Venture in India with Lohia Auto, worth Rs.
United Motors aka UM Motorcycles – the US based two wheeler manufacturer which has presence in over 20 countries, has announced a 50-50 Joint Venture in India with Lohia Auto, worth Rs. 120 Crores. “We have finalised our terms with the Indian company to start a joint facility and roll out the American bikes in the domestic market,” Rajeev Mishra, Director at UM Motorcycles India, gave a statement to a leading daily. Company will start with a contract manufacturing arrangement to roll out bikes next year onwards. “As per the initial plans we aim to launch three cruiser bikes for the Indian customers, in the 250-350cc segment,” Mishra added
“We would be working in the affordable price segments that should start at Rs. 1 lakh, going by the current taxation structure.” he said. “As we move ahead, we plan to enrich the offerings by launching sports bikes and the current hotspot scooters for the Indian customers.” The manufacturing unit will be located in Kashipur, Uttarakhand and will utilize Lohia group’s current facility which has a capacity to produce 1,00,000 units a year. UM Motorcycles India hopes to break even in next two years. The cruiser range, the company spokesperson says, will be competitively priced and will create a market for young consumers looking for an affordable cruiser. The point to note here is that, current offerings in cruiser segment are very few and people have been looking a for fresh bike since long. UM Motorcycles also plans to utilize India as an export hub in the future, for serving their markets in the Middle East, Africa and Asia Pacific region.
The UM Renegade at 2014 Indian Auto Expo
UM Motorcycles is well known across the globe for its vast product range which includes sports bikes, cruisers and even scooters. Company’s offerings boast of various innovative features like the BSM (Blind Spot Mirrors), USB Charging port and 360 degrees illumination. UM Motorcycles had debuted at the 2014 Indian Auto Expo, displaying its products for the first time on company’s soil. Lohia Auto, on the other hand, is an Indian electrical automotive manufacturer. Its product line up includes 3 electric scooters – Fame, Genius and Omastar and two electric rickshaws – namely Humsafar and Humrahi.