Royal Enfield on Thursday announced the commencement of operations of its local assembly unit and CKD (completely knocked down) facility in Thailand, keeping an eye on the growing two-wheeler market in the South-East Asia region.
New Delhi: Royal Enfield on Thursday announced the commencement of operations of its local assembly unit and CKD (completely knocked down) facility in Thailand, keeping an eye on the growing two-wheeler market in the South-East Asia region. Apart from its state-of-the-art manufacturing facilities in Chennai, this is the third local CKD facility after Argentina and Colombia.
Royal Enfield's local assembly unit will not only cater to the local demand but will also double up as a distribution hub for countries in the South-East Asia region like Indonesia, Vietnam and others. The company is confident that this will further boost the prospects and increase the growth opportunities for it.
B Govindarajan, Executive Director, Royal Enfield said, “With a strategic approach to scale up the business and meet the growing demand, we plan to establish local assembly units in priority markets starting with Argentina and then Colombia in 2020. Taking the plan forward." Continuing this journey and marking our first time in the Asia Pacific region, we are very pleased to announce the commencement of operations at the CKD Assembly Plant in Thailand.
Currently, the Royal Enfield facility will start with the local assembly of the Himalayan, Interceptor 650 and Continental GT 650 this month.
Royal Enfield first entered the Thai market in 2015 and claims to have made great strides here and in the Asia-Pacific (APAC) region. The company says it is now one of the top five players in the premium, mid-sized motorcycle segment in markets such as Thailand, Australia, New Zealand and Korea.
Hence the increasing demand for Royal Enfield products has convinced the company to now open local assemblies in Thailand, while also focusing on expanding the retail network here and in the region.