Victory Headed to the Indian Market in 2012

02/18/2011 @ 5:56 pm, by Jensen Beeler2 COMMENTS

Victory Headed to the Indian Market in 2012 2009 Victory Hammer S 635x476

Victory Motorcycles is looking to continue its strong sales growth by taking its Harley-Davidson alternative of a product line to the Indian market. Expecting to enter India in Q2 of 2012, Victory will first import fully-assembled motorcycles into the huge Indian market. Victory also plans on setting up an assembly plant, so the company can import partially-constructed machines into the country, and thus sidestep the massive tariffs India levies on fully-assembled motorcycles imports.

Victory’s plan to first import fully-assembled models into India stems from the company’s desire to gauge the market’s response to its entry. Presumably the American company will be taking a loss on the sale of each bike, as Indian tariffs nearly double the cost of the motorcycle. However if sales are positive, and Victory goes forward with plans to make an assembly plant, the American company can benefit from price reductions starting at 30% off the tariff rate.

With this news, Victory becomes not only another manufacturer to see the future of their sales coming from outside the borders of the United States, but to also consider taking the considerable cost benefits of setting up local operations, in some form or another, in India. The move is not all that dissimilar from the recent announcement we heard from Ducati that it would be setting up an assembly plant in Thailand, in order to better serve the southeast Asian markets. Honda, Kawasaki, Suzuki, and KTM also have local production in India, while Ducati, Aprilia, and Hyosung import into the growing market. BMW plans on entering the Indian market soon as well.

Source: BSMotoring

Comment:

  1. Ben Outriden says:

    A country that protects it’s own market with tariff’s. reminds me of the glory days.
    hope Victory sees success in their Indian experiment.

  2. Tom says:

    I’ll post the same thing here that I posted at thekneeslider….

    Wow, countries that don’t try to commit economic suicide via the lie of the \free market\ are seeing economic gains and job growth. Imagine that. Wow. Meanwhile, in the US, Conservatives who claim to be rational businessmen continue to cling to a failed dogmatic ideology.

    Its not that the American dream is slipping away. Its that its being boxed up and sent overseas while the rank and file working people are told to attack the Lib’ruls as the culprit for this march toward neo-feudalism.