With Chetak Technology, Bajaj Auto seeks to be the leading exporter of two-wheeled electric vehicles

Bajaj Auto is seeking a leadership position when it comes to exports of electric two-wheelers from India much like it did for gasoline motorcycles. India’s largest motorcycle exporter sells its models to over 70 countries.

Over the next two years, Chetak Technology, its wholly owned subsidiary, will build a portfolio of electric two-wheelers. Rakesh Sharma, executive director of Bajaj Auto, led Bajaj Auto in overseas markets. He is now committed to charting a similar growth trajectory for Chetak Technology.

“When we are deciding on a new product, it is like in all markets that we can sell. It is always a global game. It will be the same for electric vehicles (electric vehicles), “Sharma said. There are requests for the model from Kenya, Mexico, Argentina, Asean nations, Nepal and Bangladesh, among others, he said.

Chetak is looking to create a portfolio of e-two-wheeler models by addressing various needs and satisfying a vivid customer profile, Sharma said in an interaction.

The Chetak plant will also be a major export hub for KTM and Husqvarna scooters and motorcycles over the next two years. On Friday, the company inaugurated its newly built electric vehicle manufacturing plant in Pune’s Akurdi on the anniversary of the late Rahul Bajaj’s birth.

This inauguration is in many ways a homecoming because Akurdi is the place where the iconic Chetak scooter was born in the 1970s. He has continued to redefine mobility for generations in India.

“We always joked that Chetak was her favorite son; I would like to assume that he is very happy with the way his birthday is being celebrated, “said Rajiv Bajaj, managing director of Bajaj Auto, after inaugurating his he only electric vehicle factory.

Established with an investment of Rs 300 crore, the facility will benefit from the government’s production-related incentives (PLI) scheme.

READ ALSO: Sale of two wheels, CV in slow lane; 1.6 million units sold in May: FADA

Bajaj Auto will invest over Rs 2,000 crore over the next 2-3 years, Sharma said. The plant has the capacity to turn out 800 e-scooters every day (250,000 per year). It can be further expanded to double its power on two electric wheels.

Chetak, in his new electric avatar, hit the streets in October 2019. But supply chain problems have slowed its run and the company has only managed to sell over 14,000 units so far with over 16,000 bookings in the pipeline.

While meeting domestic demand remains a top priority for the company, it would not wait for the scenario where the backlog will be fully addressed to undertake exports, Sharma said.

He added that the semiconductor shortage is here to stay and does not see the situation completely resolved for another two years. To improve supplies, Bajaj relied on some large suppliers. But now it comes from multiple suppliers. This should help the company grow at a faster pace.

Sharma said Chetak Technology is looking into multiple collaborations, including acquiring a stake in a start-up or established company to further its electric vehicle ambitions. However, he is in no hurry and will only partner with those companies that bring “enough value to the table”.

Dear reader,

Business Standard has always made great efforts to provide up-to-date information and commentary on developments that are of interest to you and that have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering has only strengthened our determination and commitment to these ideals. Even in these difficult times resulting from Covid-19, we continue to remain committed to keeping you informed and up to date with credible news, authoritative opinions and incisive commentary on topical current issues.
We do, however, have a request.

As we fight the economic impact of the pandemic, we need your support even more so that we can continue to offer you higher quality content. Our subscription model has received an encouraging response from many of you who have subscribed to our online content. More subscriptions to our online content can only help us achieve the goal of bringing you even better and more relevant content. We believe in free, fair and credible journalism. Your support through multiple subscriptions can help us practice the journalism we are engaged in.

Support quality journalism e sign up for Business Standard.

Digital publisher

Leave a Comment

Your email address will not be published. Required fields are marked *