Royal Enfield working on a new 400 cc engine to increase product range

Eicher Motors, the parent company of India’s iconic motorcycle manufacturer, Royal Enfield have announced an investment of INR 600 crores into Royal Enfield. This added investment will be targeted towards capacity expansion and revision of production targets to be increased to 280,000 for the current year, as against an earlier 250,000.

Eicher Motors is also looking to complete work at their Oragadam plant in the coming two years which when completed will see total capacity increase across its two plants to over 5 lakh units per annum by 2016. This increased capacity will go a long way in meeting sales targets and reducing waiting periods of various models.

Royal Enfield working on a new 400 cc engine to increase product rangeBesides added investments and increased production capacities, the company is also focusing on midsized motorcycle segment in the 250cc to 750cc capacities. These new platforms are being developed with global ambitions in mind. To start with, the Autocar Professional now reveals that a 400cc engine is in the making and that will be the first to be introduced under this new growth plan.

The company currently sells Bullet, Classic, Thunderbird and Continental GT models in India. Their engine line-up includes 346cc, 499 cc and 535 cc. Expansion plans will run parallel to increasing dealer networks. Dealer networks across India currently stand at 300 dealerships which will be increased to 500 dealerships in the next 2 to 3 years.