This new joint venture is likely to come into effect by the end of 2013, with Hero MotoCorp holding majority stake in the deal. The company is also augmenting its own R&D center and is going all out to ensure that their bikes offer improved fuel efficiency and better emission standards as the company faces severe competition from Honda Motorcycle and Scooters India Pvt. Ltd.
Fuel emission norms are getting more stringent and hence the company has decided to cater to these increased demands to ensure that these modifications are made in engines, reports Livemint. Magneti Marelli is well versed with the design and production of advanced systems and components. The company employs a total of 34,000 people across 77 production units and 11 R&D Centers across the globe.
Hero MotoCorp parted ways with Honda in 2010 and has since them set up a full fledged R&D Center near Jaipur which is the largest two wheeler research and development center in the country. They are still the world’s largest motorcycle manufacturer, and would want to maintain that position.