The Italians have come back with launch of the new Vespa scooter for Indonesian and Indian markets. On Thursday, the company launched the Vespa S 150 ie scooter in the Indonesian markets. The model is inspired by Vespa Vespino which was once popular in the 1990s.
The new Vespa scooter is available for Rp27.5 million or US$3,000 and is launched keeping European emission standards in mind. Coming into the country (Indonesia) after a gap of 11 years, Piaggio has 43 outlets across Indonesia and 11 in Jakarta. They will be imported from Vietnam from where the company has a manufacturing unit.
Piaggio Vehicles, a subsidiary of Piaggio Group of Italy have also set up a unit in India. They arrive in India after a gap of 13 years. The new Piaggio unit is set up at Baramati, Maharahstra from where they plan on producing three and four wheelers, bikes and scooters for the Indian markets. The company will be investing a total of €50 million in their Indian unit of which €30 million has already been invested as they see great prospects in the Indian market.
Piaggio Vespa LX125 scooter is priced at Rs.66,000 ex Maharashtra. The scooter will have a 10 PS and 125cc engine specially designed for the Indian markets. It will be sold through the company’s 50 dealer networks across 35 cities in the country. The company hopes to see monthly production of 12,000 units by September which they will gradually increase to 15,000 and 20,000 in due course. There is also the possibility of the company entering the motorcycle segment, however no precise dates were mentioned as the company is still in the process of evaluating markets.
Mr Roberto Colanino, CEO & President, Piaggio Group, said, “The investment at Baramati is part of our strategic plan, which sees this market as a significant destination in our growth trajectory. We have planned investment of €50 million of which we have already invested €30 million in the Baramati plant. We will invest another €20 million in this plant to double the capacity to 3,00,000 units by mid-2013. Going forward we are looking at increasing our product range in scooters and motorcycles to meet the growing demand for two-wheelers here. We are also evaluating the possibilities to launch 3-4 wheeled LCVs and the products will be customised for this market.”