Motorcycle manufacturer DSK Hyosung has announced that it will set up a new manufacturing facility in India, for which it has identified a 100 acre site in Karad, Maharashtra.
A report on Autocar Professional quotes the company's chairman, Shirish Kulkarni, who says that he expects the company to take possession of the land within the next 3-4 months and that construction is expected to start in September this year.
The plant is coming up at an investment of Rs 350 crore, which will happen in a phased manner. It is set to have a maximum capacity of 100,000 units per annum by 2020, says the report. DSK Hyosung's present infrastructure in the country is limited to a small assembly facility in Pune where it has the capacity to assemble 2,500 units per year out of CKD kits.
Since its launch in 2011, DSK Hyosung has sold around 3,500 units in India. Kulkarni says that this has earned the company a 17 percent market share as of last year, a figure he expects to go up to 20 percent for this year, and eventually rest between 27-30 percent in the long run.
At the recent Auto Expo 2014, DSK Hyosung launched the Aquila 250 cruiser for Rs 2,69,000 (Ex-showroom, New Delhi.) It is likely that prices would drop when the company's plant comes into operation.
[Source - Autocar Professional]