Hero MotoCorp Ltd (HMCL) has announced its plans to enter European markets by end-2015.
05 Nov 2014 | 4469 Views | By Shobha Mathur
Hero MotoCorp Ltd (HMCL) has announced its plans to enter European markets by end-2015. The company made this announcement at one of the biggest event for two-wheelers at Milan in Italy organised by EICMA, the marketing body of Italy's National Association of Bicycles, Motorcycles and Accessories (ANCMA).
In the first phase of ...
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Hero MotoCorp Ltd (HMCL) has announced its plans to enter European markets by end-2015. The company made this announcement at one of the biggest event for two-wheelers at Milan in Italy organised by EICMA, the marketing body of Italy's National Association of Bicycles, Motorcycles and Accessories (ANCMA).
In the first phase of its European foray, HMCL will launch its products in Italy, Spain and France followed by the UK and Germany in the second phase. The company will launch its first serial-hybrid scooter Leap in these markets, and subsequently bring more models including scooters and motorcycles.
HMCL recently announced an investment of $800 million in building capacity across the globe in the next few years. Expanding aggressively over the past three years, it has a footprint in over 20 countries across Central and South America, East and West Africa as well as Asia.
Italy is home to two of Hero’s strategic alliances – Engines Engineering and Magneti Marelli - both based at Bologna. Engines Engineering is a technology partner fro HMCL and has a joint-venture with Magneti Marelli in India for developing fuel injection technologies.
In addition to the domestic market in India, HMCL sells its products in Sri Lanka, Nepal, Bangladesh, Egypt and Turkey in Asia; Peru, Ecuador and Colombia in South America; Guatemala, Honduras, El Salvador and Nicaragua in Central America; Kenya, Mozambique, Tanzania and Uganda in East Africa; Burkina Faso, Ivory Coast, Democratic Republic of Congo and Angola in West Africa; and Ethiopia in North Africa.
Hero MotoCorp is also setting up two overseas manufacturing plants in Colombia and Bangladesh expected to go on stream in 2015-16. In partnership with its local distributors, HMCL has also set up assembly units in Kenya, Tanzania and Uganda.
In keeping with its vision to be a global brand, Hero MotoCorp is set to step into the US and Brazilian markets by 2016. Last year, the company became the fastest company in the world to produce 50 million two-wheelers in cumulative production.
Hero MotoCorp has four manufacturing facilities in India with its latest IGBC-certified platinum class Garden Factory recently being commissioned at Neemrana in Rajasthan taking up its annual installed production capacity to over 7.5 million motorcycles and scooters.
HMCL is also in the process of building two more manufacturing plants in India. When operational, all these plants – including the ones in Colombia and Bangladesh – will take the total installed capacity of Hero MotoCorp to over 12 million units of two-wheelers.
By 2020, the company aims to be in over 50 countries with 20plus assembly facilities globally.