Ending Kawasaki Partnership Will Not Have Adverse Effects: Bajaj

Indan two-wheeler manufacturer Bajaj Auto has stated that, ending its alliance with Kawasaki will not impact its performance in the country.

By Sukesh

Published: Tuesday, March 28, 2017, 12:25 [IST]

Bajaj Auto has stated that the decision to end the partnership with Kawasaki will not have an adverse impact on the company's performance in the country.

Ending Alliance WIth Kawasaki Will Not Impact Business — Bajaj Auto

The Pune-based company stated that the alliance was formed in 2009 to sell Kawasaki motorcycles in India. The motorcycles ranging from 250cc to 650cc were sourced from Japan to retail in India.

In a regulatory filing, Bajaj Auto said, "The closure of tie-up does not have any impact whatsoever on the overall performance of the company nor do we have anticipate this to have any said on the stock price of the company."

The company added, "Being in the high priced bike segment, the sales have been not significant for many years now." Only 867 Kawasaki motorcycles were sold in the period of 2015-16.

Last week, Bajaj Auto came to a conclusion with Japanese motorcycle maker Kawasaki, to end the decade-old partnership for sales and service in India. From April 1, 2017, Bajaj's Probiking showrooms will no longer deal with Kawasaki bikes.

With the break in partnership, the Kawasaki motorcycles will be sold through Kawasaki Motors Pvt Ltd. The Kawasaki dealerships will also provide after sales service. Including the customers who purchased the motorcycle through Probiking showrooms.

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