TVS forays announced the launch of 6 new bike models; forays into 3-wheeler segmentTVS Motor Company, India's third largest two-wheeler maker announced its entry into the three-wheeler segment and unveiled six other vehicles, including an electric scooter.
Apnaloan.com Research Bureau
31 Aug 2007
TVS Motor Company, India's third largest
two-wheeler maker has announced its entry into the three-wheeler segment and
unveiled six other vehicles, including an electric scooter on August 31,
The three-wheeler market has grown at an 18 per cent CAGR (compounded annual growth rate) over the last five years, faster when compared to two-wheelers and commercial vehicles' market.
Media reports that in April-July 2007, TVS witnessed a drop of nearly 16 per cent in its two-wheeler sales. The company enters the three-wheeler segment armed with three two-stroke models of 200cc, each running on petrol, LPG and CNG. The diesel version will come in by February 2009.
The company also plans to launch four-stroke three-wheelers by February 2008. Reports say that the products unveiled on August 31, will be launched in a phased manner between October and November 2007. The prices will be announced at the time of the launch.
These will be manufactured at the company's plant in Hosur and will entail an investment of Rs 125 crore. The installed capacity will be 100,000 a year. TVS is likely to price its vehicles a bit lower to meet the market competition.
TVS aims to capture at least 30 per cent of the three-wheeler market by 2010. The petrol version of the three-wheeler market is expected to grow at 7 to 8 per cent and the diesel version at 10 to 12 per cent.
Reports also say that TVS will come out with a cargo version of the three-wheeler. The CNG and LPG markets are rapidly expanding as more state governments encourage cleaner fuels. The company also aims to export three-wheelers and is looking to assemble them at its Indonesia plant in a year.