Eicher Polaris spokesman Pankaj Dubey has told the Indian Business Standard newspaper that assembling Indian motorcycles in India could double their market share from about 8-10% in the next two-three years.
Over the past few years, brands as diverse as BMW, BRP (Can-Am Spyder), Ducati, Harley-Davidson, Honda, MV Agusta, Suzuki, Triumph, Yamaha and former Indian Motorcycles’ Polaris stablemate Victory have entered the Indian motorcycle market which is now the world’s biggest.
Some also have assembly plants in the country to avoid the crippling 105% import duties on completed bikes.
Manufacturers have been able to bargain for much lower import duties on complete knockdown (CKD) motorcycles exported to the country.
These locally assembled bikes attract a greatly reduced duty depending on a complex formula involving engine capacity and local content.
Manufacturing in India
Some even have manufacturing plants in India, including Harley-Davidson which makes its Street family there and BMW which makes its G 310 at the TVS factory.
These bikes attract no import duty, only normal taxes.