Indian motorcycle manufacturer Royal Enfield will set up an assembling unit in Thailand next year in efforts to boost exports to ASEAN countries, according to media reports.
This will be the Indian manufacturer’s second overseas plant which will cater to Asian countries, especially Indonesia and Vietnam as there is a huge motorcycle demand here.
The Royal Enfield factory will be set up in Thailand’s Chachoengsao province and utilize 40pc of local auto parts and import 60pc from India. The unit is expected to begin operations in April 2021.
In 2019, Royal Enfield’s Thailand sales doubled as compared to the year prior.
The company has 36 showrooms in Thailand and is planning to expand with showrooms in Vietnam, Philippines, Malaysia, and Indonesia in the next few years.
The company had earlier set up its first overseas assembling plant in Argentina. Thailand houses the world’s biggest motorcycle companies like Honda, Yamaha, and Harley Davidson.