This new facility underscores the company's focus on expanding its global footprint and strengthening its presence in key markets.Royal Enfield, a leading mid-size motorcycle manufacturer, launched its first fully owned assembly plant in Thailand, marking a significant expansion in the Asia Pacific region. This CKD (Completely Knocked Down) facility in Samut Prakan province, Bangkok, signifies Royal Enfield’s commitment to the growing market and will initially serve Thailand before expanding to other regional areas.
The plant, spanning 57,000 square feet, has an annual capacity exceeding 30,000 units and represents the company’s sixth global CKD assembly unit.
Royal Enfield aims to capitalise on the increasing demand for mid-size motorcycles in the Asia Pacific region, viewing Thailand as a key market with strong growth potential. The local assembly plant allows for more efficient distribution and enhances customer experience. This strategic move aligns with Royal Enfield's global expansion strategy, focusing on markets with high growth potential.
B Govindarajan, CEO of Royal Enfield, during the plant's inauguration, said, “Royal Enfield has been working extensively to grow the middleweight motorcycling segment globally. We have seen great reception from the international audience who are looking for motorcycles that are accessible and are a unique extension of their personality. We have an evocative range of motorcycles across various platforms catering to our global audiences."
"Royal Enfield is a truly global brand and ranks among the top mid-segment motorcycle brands in markets such as the UK, Korea, Australia-New Zealand, among others. Our strategic intent is to have an international expansion strategy of investing in markets with huge potential to grow. Thailand assembly plant caters to this vision. We thereby are bringing more and more motorcycle enthusiasts to experience the DNA of Royal Enfield - Pure Motorcycling,” he added.
Yadvinder Singh Guleria, Chief Commercial Officer of Royal Enfield, further elaborated on the company’s strategic intent in the Asia-Pacific region. He confirmed the significant potential of the mid-size motorcycle segment in these markets and emphasized the company's commitment to expanding its presence and fostering the motorcycling community. Guleria expressed confidence that the Thailand facility would contribute to the growth of the mid-segment market both in Thailand and the broader region.
Royal Enfield already operates CKD assembly units in Argentina, Colombia, Brazil, Bangladesh, and Nepal. The Thailand plant is the latest addition to its global manufacturing network. This new facility underscores the company's focus on expanding its global footprint and strengthening its presence in key markets.
Anuj Dua - Asia Pacific, Business Head of Royal Enfield said, “It has been our constant endeavour to not just develop but expand the mid-size motorcycle segment in Thailand. Thailand has been a very strong market for Royal Enfield, and has displayed a steady growth trajectory. Our Customers and passionate Communities that exist throughout Thailand cherish the ownership of the brand resulting in a growth of more than 150% since our inception here in Thailand. The varied topography, culture and diversity of the country provides the ideal setting for our kind of Motorcycles. Our growth over the years has been extremely encouraging, be it - network, customers, community and our portfolio. We remain committed to delivering exceptional motorcycles and experiences that resonate with the Thai riding community. Our strategic initiatives for 2024 and beyond will further solidify our position and ensure a steady growth trajectory.”
