Instead of rapidly expanding its EV portfolio, Yamaha is focused on developing a “good and solid” electric scooter for India
While Yamaha is yet to launch an electric two-wheeler in India, the company said it is working on something truly unique. Eishin Chihana, Chairman, Yamaha Motor India Group of Companies, talked about various possibilities for the Indian market. Focus is also on positioning India as a major manufacturing hub to support Yamaha’s global business.
One or two electric models by 2030
Yamaha is not so keen to join the electric two-wheeler race. However, Yamaha teams in Japan and India are working to develop a “unique offering” for the Indian market. Yamaha’s first electric two-wheeler for India will have the brand’s primary USPs such as style, performance and speed. To fulfil its EV goals, Yamaha recently invested in an EV startup named River. The startup develops and sells electric scooters.
With Yamaha’s investment, the startup has launched a new entity, River Mobility, in Bengaluru. It will play a key role in Yamaha’s electric journey in India. Chihana said that River has shown excellence in engineering. It will help in creating something really good for the Indian market.
Yamaha fans prefer petrol
Another reason why Yamaha is not in a rush to join the EV race is the fact that the majority of its customers prefer petrol motorcycles. Yamaha bikes are primarily targeted at Gen Z that belongs in the 18-25 age group. Chihana said that youngsters are driven by emotion. This aspect will have to be considered for Yamaha’s upcoming electric scooter.
Going forward, Yamaha will continue to focus on its ICE portfolio. As per the company’s estimates, ICE two-wheeler sales will be around 70-80% of the overall two-wheeler sales by 2030. Yamaha’s primary customer base will be looking to upgrade to higher capacity ICE motorcycles that can handle long-distance journeys. In comparison, use of electric scooters will be primarily limited to short urban commutes.
Increasing production volumes in India
Yamaha is looking to develop India as a major manufacturing hub. In addition to increasing exports from India, Yamaha has plans to position India as the second pillar (after Indonesia) in the company’s global business. As of 2023, Yamaha India is number fourth in terms of profitability. Yamaha’s primary contributors are the US, Europe and Indonesia. By the end of this decade, Yamaha India ranking is expected to rise in terms of sales volumes and profitability.
As part of its upcoming three-year midterm plan (2025-27), Yamaha will step up focus on the electric segment. Also, a larger role will be defined for countries like India. As per the current plan, Yamaha has been focusing on increasing sales of premium bikes to the burgeoning middle class in countries like India, Indonesia and the Philippines. Expansion of the Blue Square retail outlets in India is another priority.
Relaunching RX100 a big challenge
While RX100 has a significant fan following, it will be tough to bring it back in its original 2-stroke, 100cc format. In today’s age of 4-stroke motorcycles, the engine capacity will have to be at least 200cc to match the performance and acceleration of the original RX100. Achieving RX100’s unique exhaust note is another challenge. Chihana said that he is constantly looking for solutions and is keen to revive the iconic RX100.
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Source: Bike - rushlane.com
