Lots of motorcycle manufacturers have partnerships and factories worldwide. And, Royal Enfield is announcing that three of its motorcycle models will be assembled in Argentina.
The Interceptor 650cc twin (aka INT 650 in the USA), Continental GT 650cc twin, and 400cc Himalayan will be produced in a new factory in Campana, Argentina. The new facility is Royal Enfield’s first outside of its Chennai, India manufacturing plant. Royal Enfield reportedly made an investment of $80 million in the project. The opening brings 100 new jobs to the area.
The three Royal Enfield models will be assembled by Grupo Simpa. Grupo Simpa and Royal Enfield have had a distribution agreement since 2018.
The Argentinian assembled bikes use parts mainly imported from India. However, the bikes will also use some parts sourced from Argentina.
Representatives of Royal Enfield, including CEO Vinod Dasari, along with the Argentine President Alberto Fernández, the Governor of Buenos Aires province, Axel Kicillof, and Development Minister Matias Kulfman, spoke about the opening of the new factory.
Royal Enfield CEO comments
CEO Vinod Dasari had the following to say about the deal:
“Royal Enfield has been working steadily to grow and expand the middleweight motorcycling segment globally and also to increase our footprint in important global markets.”
“With a strategic view to cater to growing demand and to gain significant market advantage, we have been pursuing our plans to set up local assembly units across specific markets in the Asia Pacific region and across South America. In the first of these, we are very happy to announce the first CKD (Completely Knocked Down) assembly plant in Argentina.”
Dasari also commented about the company’s success in Argentina:
“Ever since we commenced sales since 2018 in Argentina, we have received a resounding response to our motorcycles from consumers. The local terrain and topography create the perfect canvas for riding our motorcycles, especially the Himalayan. The initial success of the 650 Twin motorcycles has also been very encouraging.”
The President of Argentina is also very pleased with the development.
“This production development not only has created jobs but with the manufacture of parts in Argentina, allows for more accessible prices.”
Royal Enfield currently has five exclusive stores in Argentina. In all, the Indian brand has 31 exclusive stores and 40 other retail outlets in Latin American countries.