Royal Enfield To Assemble Motorcycles In Thailand Due To High Demand

Royal Enfield has announced the formation of its subsidiary in Thailand. This will be the first assembly plant for the motorcycle manufacturer outside Thailand. Royal Enfield has selling its motorcycles in the Thai market since three years now and the company has observed increasing demand, and hence the decision to set up its subsidiary there.

Royal Enfield is the oldest motorcycle manufacturer in the world that has been in continuous production. The brand manufactures motorcycles with a classic-retro design and these motorcycles are extremely popular in India.

Turns out, the demand for these motorcycles outside the Indian market too is high and is on a continuous upward surge. The brand image of Royal Enfield shot up after the launch of the Interceptor 650 and Continental GT 650 in November 2018.

These motorcycles have also been on sale in the Thai market and Royal Enfield claims to have received over 700 booking for the 650 twins in the south-east Asian country. Hence, Royal Enfield's Decision to have a subsidiary and an assembly plant in Thailand makes more sense.

It will be a wholly-owned subsidiary of Royal Enfield and will function independent of the Indian unit. Siddhartha Lal, the CEO of Eicher, Royal Enfield's parent company was quoted as saying, "Thailand has become Royal Enfield's third home after its origins in UK and success in India. The initial success of the 650 Twins in Thailand has proven that Royal Enfield is well poised to fill the gap in the mid-size segment.

"With a massive segment of commuters ready to upgrade and a robust long-distance, leisure riding culture in the country, Thailand offers huge headroom for growth for Royal Enfield. We believe that localising our operations in Thailand will allow us to serve our customers at a closer and more intimate level."

The Royal Enfield assembly line in Thailand can also be used to export its motorcycles to other neighbouring countries like Indonesia, Singapore, Malaysia, etc.

Thoughts On Royal Enfield Assembly Plant In Thailand

Royal Enfield is a highly-respected motorcycle manufacturer across the globe. It always made motorcycles that looked great and these motorcycles had a cult following across the globe. The brand's latest motorcycles use modern technology and engineering, and this makes them more attractive.

You can read DriveSpark's review of the Royal Enfield Interceptor 650 to see that the motorcycle is nearly perfect. With such motorcycles, demand is only set to increase and we can see RE entering more markets.