Harley-Davidson introduced two of its cruiser motorcycles today at the India Auto Expo which were assembled in Indian plants , a move which allows Harley to circumvent high import tariffs as well as dropping the MSRP.
(CKD), which means Harley components were shipped in then assembled by Indian workers at local plants. This move allowed Harley-Davidson to drastically drop the price, with the Street Bob going from Rs. 13.95 lakh to Rs. 9.95 lakh, while the Super Glide Custom can now be sold for Rs. 11.5 lakh versus its previous MSRP of Rs.15.45 lakh.
Harley-Davidson India’s Managing Director, Anoop Prakash, reportedly said it is the first time motorcyclists in the country will be able to acquire a 1600cc motorcycle for under Rs. 10 lakh. The two Dynas, previously available only as Completely Built-Up (CBU) imports, will now be pieced together at H-D’s Bawal plant in Haryana. Other CKD assembly operations began in January of 2011 consisting of Sporsters only, including the SuperLow, Iron 883 and Forty-Eight. The Motor Company also announced its intentions to expand operations in Kolkata, Kochi and Jaipur. India is the world’s second-largest two-wheeler market, albeit most of those up till now were small step-thru scooters and low displacement motorcycles. A burgeoning middle class with more disposable income has helped change the Indian motorcycling landscape in recent years though.
Indian dealerships began taking orders for the Harley cruisers at its new price today at all seven dealerships in the country, including the new showroom in Chennai. In all, Harley offers 15 models in the Indian market.
The opening of assembly plants in India and the move to CKD units over CBU imports means big savings for The Motor Company as the CKD models are assessed a 60% tax rate as opposed to the 110% levied to full imports, hence the lower MSRPs offered to the Indian buying public.