New Delhi : Legendary automobile giant Royal Enfield is going to make its first move outside India. The company announced on Wednesday that it was going to set up a local assembly plant of motorcycles in Argentina in partnership with Grupo Simpa.
Initially, three models of Royal Enfield – Himalayan, Interceptor 650 and Continental GT 650 – will be assembled at this Argentine plant.
Royal Enfield entered the Argentine market in March 2018. The company then partnered with Grupo Simpa. Grupo Simpa is now the local distributor of Royal Enfield in Argentina.
Royal Enfield’s first store in Argentina opened in Vicente López, Buenos Aires. After this, Royal Enfield gradually expanded and opened several stores in Argentina.
Overall, the company has 31 exclusive stores and 40 other retail touch points in Latin American countries.
Royal Enfield Bikes will be assembled outside India for the first time
This is the first time in the history of Royal Enfield that its bikes will be assembled outside its firm in Chennai, India. India is the largest market for the company with over 900 dealerships.
Plan to meet growing demand – CEO
Talking about the announcement, Mr. Vinod K. Dasari, Chief Executive Officer (CEO) of Royal Enfield, said that as a strategy to meet the growing demand and profit, they are planning to establish local assembly units in the Asia Pacific region and in specific markets in South America to meet growing demand and as a strategy for profit. Along with this he said that he is very happy to announce the first CKD assembly plant in Argentina.
Dasari said that in the last few years the company has increased its international presence and now has its retail business in about 60 countries.
He said that Argentina as well as other South American countries are important markets for the company. The company has received good customer response from Argentina.
He also stated that Brazil, Argentina and Colombia are important markets for the company in Latin American countries.