Royal Enfield to invest INR 800 crore in R&D, launch new products
Royal Enfield aims to improve quality and reliability of their bikes as well.
After posing record-breaking sales of over 666,490 units during FY 2016-17, Royal Enfield is back with yet another surprise. The Indian two wheeler brand will invest INR 800 crore to stay ahead of competition, and continue to launch new products.
A majority of this INR 800 crores will go into Research and Development of upcoming Royal Enfield motorcycles which are due for launch in the coming months. First up is a 750 cc twin cylinder Royal Enfield, which has already commenced testing in India.
Investments have also been planned towards product development, establishing two new technical centers in Leicestershire, UK and Chennai, India. Apart from this, enhancement of manufacturing capacities and augmentation of market development globally has also been planned. While the UK technology center is slated to be completed by the second half of 20117, the Chennai based facility will be operational by 2017-18.
Royal Enfield also plans introduction of new models and engines for which the company is setting up a new R&D center in Leicestershire while around 1 year ago, the company purchased Harris Performance, a Hertfordshire based motorcycle design and engineering firm.
After the government of India announced demonetization, sales of almost every two wheeler major slumped, but somehow Royal Enfield continued to post growth. This allowed the company to continue posting sales growth. Riding on last year’s phenomenal sales record, when they posted their highest ever sales, the company is aiming at improving the record in FY 2017-18. Of all, Classic 350 continues to be the best-selling RE in the world.
Royal Enfield is expected to launch their twin cylinder 750cc motorcycle later this year. Spy shots reveal that this motorcycle is based on the Continental GT platform and will be the most powerful and fastest Royal Enfield ever built.