Hero Motors has just inked a deal with BMW that sees the Indian motorcycle manufacturer building gearboxes for the Bavarian brand not only in the Indian market, but also worldwide. The five to eight year deal will see Hero building gearboxes for BMW on a variety of motorcycles, and we presume scooters, though which models exactly remains to be seen.

The news is a boon for the Indian motorcycle manufacturing industry, as it adds further credence to the country’s technical prowess. The deal is also beneficial for BMW as well, as the German company will not only be able to build its bikes for cheaper, but we’re sure BMW is gaining a foothold on the lucrative Indian market from the transaction as well. BMW currently imports fully-built motorcycles into India, but with this news, we see that business practice changing in the near future.