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Old 18th May 2017, 18:10   #1
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Default Kawasaki India mulling local assembly

Kawasaki is reportedly considering starting local assembly of some of its engines in India. This move is expected to bring down the final price of the bikes and thus boost the company's sales figures.

The Japanese bike manufacturer is currently evaluating the possibility and feasibility of locally assembling its 300cc and 650cc engines. While the former powers the Ninja 300, the 650cc unit is found in the Ninja 650, Versys 650 and the Z650. These models form the majority of Kawasaki's sales in India.

Reports suggest that the 300cc and 650cc bikes from Kawasaki currently have a localisation rate of around 25-30 percent. Meanwhile, the Z250, which is the manufacturer's entry-level naked street fighter, has up to 40 percent localisation.

Kawasaki is attempting to increase the level of localisation of its middleweight bikes in order to compete with other manufacturers like Bajaj, KTM, Yamaha and Honda, who already have heavily localised products in this segment.

Source: Autocar India

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Old 18th May 2017, 19:00   #2
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Default Re: Kawasaki India mulling local assembly of engines

The 300s desperately need it, as they are priced way higher than the competition. Kawasaki is currently safe in the 650 space due to lack of other options, but even that might change once more manufacturers jump in.

Other issue being service costs - and they need more localisation to bring the regular service charges down. Good that Kawasaki is showing interest in the Indian market now that Bajaj has pulled out of the partnership.

Last edited by CrAzY dRiVeR : 18th May 2017 at 19:07.
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Old 18th May 2017, 19:31   #3
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Default Re: Kawasaki India mulling local assembly of engines

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The 300s desperately need it, as they are priced way higher than the competition. Kawasaki is currently safe in the 650 space due to lack of other options, but even that might change once more manufacturers jump in.

Other issue being service costs - and they need more localisation to bring the regular service charges down. Good that Kawasaki is showing interest in the Indian market now that Bajaj has pulled out of the partnership.
NOPES, don't get your hopes too high on Kawasaki Lowering the prices for its 300. I don't see it happening.

So far Bajaj was assembling the Sub 800 cc models (CKD) for Kawasaki. Now with Bajaj out of the picture, Kawasaki naturally has to set up its own assembly line. Unless of course they want to get the sub 800 cc models in CBU form.

By the way setting up an entirely new assembly plant, set up a fresh logistic chain (most certainly previously it was handled by the Bajaj/KTM team as well), invest in new manpower (naturally with Bajaj out now) is going to cost.

And expecting the prices to drop now would be be nothing but HIGH HOPES.

Last edited by Gannu_1 : 18th May 2017 at 21:29. Reason: Removing unwanted spacing after the post.
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Old 18th May 2017, 20:23   #4
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Default Re: Kawasaki India mulling local assembly of engines

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NOPES

So far Bajaj was assembling the Sub 800 cc models (CKD) for Kawasaki. Now with Bajaj out of the picture, Kawasaki naturally has to set up its own assembly line. Unless of course they want to get the sub 800 cc models in CBU form.
The bikes are still being assembled at the Akurdi plant post the split, as far as I know. It's the sales and distribution network that has been discontinued.

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And expecting the prices to drop now would be be nothing but HIGH HOPES.
When I mentioned cost reduction, there was never any HIGH HOPE of the 300 beating KTM post the arrangement. However, if they can bring it closer to the Yamaha, that's something good.

More interested in the 650s, because that is the bread and butter range for Kawasaki in India.
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Old 18th May 2017, 23:25   #5
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Default Re: Kawasaki India mulling local assembly of engines

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The bikes are still being assembled at the Akurdi plant post the split, as far as I know. It's the sales and distribution network that has been discontinued.
And how long would Kawasaki like to continue in this fashion?? Not for ever I guess.




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Old 19th May 2017, 10:23   #6
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Default Re: Kawasaki India mulling local assembly of engines

Hey Guys,

Even if we blame the N300 for example being too pricey in India; it is still the most reliable product and legendary when we compare to R3. R3 has gone through a bad phase with recalls due to major issues and would take a little more time to settle down.

The build quality of Ninja is way above the R3 too. The plastics, paint quality sad to say but is not as appealing as the Ninja.

Coming back to the topic, this is a good initiative brought up by Kawasaki to locally assemble engines. There would be various aspects which would change after doing so.

Price would definitely go down is one thing however, would we be able to maintain the quality that Kawasaki offers today. We hardly hear any fault in the technology today offered by them whereas when we compare the products from KTM which are locally manufactured we see a lot of core issues from the bikes starting from Coolant getting mixed with engine oil etc which are resolved but is an inconvenience for the owner and did happen was the scenario in the past.

I personally would love to see Kawasaki prices going down but definitely would monitor the outcome for sometime before we trust the quality and the blindly purchase their products.

Cheers,
Amey
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Old 19th May 2017, 10:51   #7
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Default Re: Kawasaki India mulling local assembly of engines

The price to Kawasaki may go down, but I don't see why Kawasaki is going to pass on that benefit to the public.

I'll be happy if it happens, might even consider picking one up. But I don't see Kawa lowering their prices even by a bit.
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Old 19th May 2017, 11:30   #8
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Default Kawasaki India mulling local assembly of engines

If, Kawasaki wants to stay in the Game, they have to have competitive prices.
Bmw prices, are just a recent example. Other manufacturers are planning to launch in India, as well.

Good times ahead for motorcycle enthusiasts if the quality and prices match international standards.
Made in India would boost the economy too.
Wondering when manufacturers will start assembly of Motocross bikes <400 cc. Am sure that Indian manufacturers have the technology.

Last edited by Happysmiles : 19th May 2017 at 11:33.
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Old 19th May 2017, 11:40   #9
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Default Re: Kawasaki India mulling local assembly of engines

Quote:
it is still the most reliable product and legendary when we compare to R3. R3 has gone through a bad phase with recalls due to major issues and would take a little more time to settle down.

The build quality of Ninja is way above the R3 too. The plastics, paint quality sad to say but is not as appealing as the Ninja.
Most reliable by which scientific measure? Understand that N300 has been longer in the market than the R3 doesnt mean R3 is poor on reliability.

And secondly every bike has gone through one or another recall which is a good thing to continue to fix. And ninja is no different.

Here are some recalls for Ninja 300. Use your judgement to see how serious it is and if this makes the N300 a poor bike.

increasing the risk of a crash.

Brake Caliper RecallLittle Ninja Not out of the wood yet?


Build quality of R3 vs Build quality of N300. Again its perceptional isnt it as how it appeals to someone should make one better than the other.

I am not trying to defend either of the machine for both are overpriced bikes that cannot stand a chance for what a KTM offers in terms of per km enjoyment(now you see , i am using my appeal factor to say other two bikes are bad. Even I am wrong in this).

The point i want to make is if you want to talk about why local assembly will help, its better to talk about benefits for the end customer who will buy the N300 rather than talking bad about another product.
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Old 19th May 2017, 14:51   #10
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Default Re: Kawasaki India mulling local assembly of engines

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The point i want to make is if you want to talk about why local assembly will help, its better to talk about benefits for the end customer who will buy the N300 rather than talking bad about another product.
I am not defending any machine as well but you have to consider the present and not past when you compare machines.

The point which you did not notice where I mentioned was regarding the quality parameters of Kawasaki; whether they'll be able to maintain almost a flawless record in India if the engines are localized.

Cheers,
Amey
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Old 22nd May 2017, 10:46   #11
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Default Re: Kawasaki India mulling local assembly of engines

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Originally Posted by payeng View Post
And how long would Kawasaki like to continue in this fashion?? Not for ever I guess.
Good guess. Looks like Kawasaki is setting up their own plant in Chakan.

http://www.autocarpro.in/news-nation...-factory-24730
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Old 22nd May 2017, 11:53   #12
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Default Re: Kawasaki India mulling local assembly of engines

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Originally Posted by CrAzY dRiVeR View Post
Good guess. Looks like Kawasaki is setting up their own plant in Chakan.

http://www.autocarpro.in/news-nation...-factory-24730
This is interesting. More than the initial cost of buying dropping, the spares and maintenance cost should see a drop to make these bikes a lot of more easy on the pocket.

Hope more players jump in and the buyers benefit.
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Old 22nd May 2017, 14:24   #13
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Default Re: Kawasaki India mulling local assembly of engines

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This is interesting. More than the initial cost of buying dropping, the spares and maintenance cost should see a drop to make these bikes a lot of more easy on the pocket.

Hope more players jump in and the buyers benefit.
This is an interesting point you picked up Nkrishnap. If the Spares and Consumables prices see a drop; Kawasaki can become very easy on the pocket.

The major consumables like brake pads for instance today for N300 cost Rs 4K (One bike set) just for Front and Rear which is too expensive to replace every 6K -7K Kms. Spares like Brake Lever pedal or Gear Lever pedal for N300 cost about Rs 2K each. So, such basic consumables and spares should be reasonable for the owner.

Additional aspects that I see which can benefit Kawasaki owners is regarding the lead-time to procure spares and consumables would go down and availability (Inventory) would also be better.

Cheers,
Amey
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Old 22nd May 2017, 15:19   #14
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Default Re: Kawasaki India mulling local assembly of engines

With Honda least interested and Yamaha still struggling to find its feet, Kawasaki really has time on its hands to setup what ever they need! They already have the reputation of building fuss free bikes (mostly) and people so far haven't shied away from paying the premium. But the likes of Benelli, SWM, Triumph are really biting at their heels. Assuming that the market for middle & heavy weight bikes being around 1000 bikes an year, losing sales of even 10 bikes seems like a dent. Does anyone know the right figures of how many 600 & 600+ bikes get sold in India?

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Old 22nd May 2017, 17:24   #15
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Default Re: Kawasaki India mulling local assembly of engines

Quote:
Originally Posted by Amey Kulkarni View Post
This is an interesting point you picked up Nkrishnap. If the Spares and Consumables prices see a drop; Kawasaki can become very easy on the pocket.

The major consumables like brake pads for instance today for N300 cost Rs 4K (One bike set) just for Front and Rear which is too expensive to replace every 6K -7K Kms. Spares like Brake Lever pedal or Gear Lever pedal for N300 cost about Rs 2K each. So, such basic consumables and spares should be reasonable for the owner.

Additional aspects that I see which can benefit Kawasaki owners is regarding the lead-time to procure spares and consumables would go down and availability (Inventory) would also be better.

Cheers,
Amey
This is really needed. If anyone even ends up buying accumulating the money for overpriced N300 they should atleast have the spares ready and in the reach of the regular customers.

Else setting up plant and etc will not going to help for the bikes.

Now will have to see what Yamaha does with the R3 which is already discontinued along with Honda CBR250R.
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