Bajaj Auto is looking at disrupting the entry-level two-wheeler segment by launching CNG motorcylces, which would drive down the fuel prices for customers by around 50%.
In an interview with CNBC TV18 on Monday, managing director Rajiv Bajaj wondered why there were no CNG scooters or motorcycles. He said that there would be no concerns relating to safety, range, charging and battery life for manufacturers, and such bikes would be great for consumers.
Bajaj said that he does not see sale of entry-level internal combustion engine bikes (100cc) picking up in the upcoming festival season as buyers are moving to electric options.
“The entry segment, which is the 100cc motorcycle, continues to be under pressure for the industry as a whole,” Bajaj said. “Buyers at the bottom of the pyramid who were hit by the Covid, job losses and rising petrol price, are not coming back,” he added.
Bajaj Auto has seven motorcycle models in the entry segment between 100 and 125 cc, and is not the leader in this category.
However, the company has around 70% market share in the CNG three-wheeler segment.
The Bajaj Auto MD also spoke of launching six new upgrades of the Pulsar motorcycle and the biggest Pulsar ever this fiscal. The biggest Pulsar currently is the 250cc variant. The company is also expanding production of Triumph motorcycles and the Chetak electric scooters, Bajaj said. The production of Triumph would go up from around 8,000 units currently to 15,000-20,000 units a month and that of Chetak to around 10,000 units per month during the festival season, and around 20,000 units by the end of the year. The company would also begin exporting Triumph motorcycles in October.