MNCs have deeply penetrated the Indian two-wheeler industry and are spreading their reach all over India. With great marketing strategy and expansion plans, HMSI additional sales will be 1 lac units due to 3^rd Bangalore Plant and soon going to start its production from its 4^th plant in Gujarat and 5^th plant in Hyderabad. This will considerable reduce the waiting period of Activa, Unicorn and Shine. Yamaha is looking to sell 7.1 lakh units of motorcycles and scooters this year. This includes 2.1 lakh for exports. The company's long-term target is to sell a total of 28 lakh units by 2018. It has also announced investment of Rs 1,500 crore to set up its third facility in India. The production at the new plant near Chennai will start by 2014 with an initial annual capacity of 4 lakh units, which will be expanded to 18 lakh units by 2018. Piaggio Vehicles, the Pune-based scooter and light commercial vehicle manufacturer, is entering the city three wheeler market with its new product Ape City, to challenge market leader Bajaj Auto and aims to upset its dominance in the three wheeler segment. With Government increasing the number of permits issued for most of Tier 1 centers, to 150,000 units per year, it is aiming to have 15-20% market share in this segment by end of this calendar year.  The company is also targeting the export market in Sri Lanka, Bangladesh, Africa and Latin America with at least 50,000 units in the next 18-20 months. Due to this, Bajaj Auto is directly getting affected and will have to face intense competition in Indian as well as in export markets.

Yamaha says India to be among its top five markets by 2016

PANJIM: Japanese two wheeler giant Yamaha today said it expects the Indian market to become one of its top five markets by 2016 as it plans to roll out "many products" in the volume-driven mass segment here.

The company, which started procuring parts from India last year for its global operations, is also looking to make the country as its important component sourcing hub in the coming years.

Indian market is very big and it's most important for us. Two wheeler sales volume here is gradually increasing. It will become our top five markets by 2016," Yamaha Motor Co (YMC) President and CEO Hiroyuki Yanagi told PTI in an interview here.

The company's wholly owned subsidiary India Yamaha Motor (IYM) had sold a total of 4.9 lakh units in 2012 and is at present among the top 10 operations of Yamaha globally.

http://economictimes.indiatimes.com/news/news-by-industry/auto/two-wheelers/yamaha-says-india-to-be-among-its-top-five-markets-by-2016/articleshow/20245350.cms

Piaggio to challenge Bajaj in city 3-Wheelers

Subsidiary of Italian Piaggio & C s.p.a has launched new class of city-centric passenger three wheelers under the Ape City brand

Piaggio Vehicles, the Pune-based scooter and light commercial vehicle manufacturer, is entering the city three wheeler market with its new product Ape City, to challenge market leader Bajaj Auto.

The subsidiary of Italian Piaggio & C s.p.a has launched the new class of city-centric passenger three wheelers under the Ape City brand. The company is aiming to upset Bajaj Auto's dominance in the three wheeler segment.

The city three-wheeler market, whose sales are dictated by state governments based on the number of permits issued for most centers, is about 150,000 units per year. Piaggio is aiming to have 15-20% market share in this segment by end of this calendar year.   

The Ape City costs Rs 1.10 lakh for petrol, Rs 1.23 lakh for LPG and Rs 1.25 lakh for CNG (ex-Maharashtra). Piaggio presently has a market share of 31% in the passenger three wheeler space while Bajaj Auto leads with a share of 50%.