Bajaj Planning for Made In China Bikes!!

Bajaj Auto is planning to build motorcycles in China. It would be on sale only in China and Nigeria.

This new Made-in-China motorcycle will be an ultra cheap 125 cc motorcycle priced at a maximum of $ 500.

Bajaj had struck deals with component providers in China a while back. Bajaj Auto is trying to capitalize on the low-cost manufacturing advantages that China offers.

Bajaj Auto has decided to use a new brand name for these new motorcycles. The famous Bajaj brand would not be found on these motorcycles at all.

While there is no confirmation on whether these motorcycles would make it into India to be sold in the 125 cc category - where Bajaj currently has only a single product - many in the industry believe this is likely.

Meanwhile in India, the Bajaj brand is getting ready to appear in a slew of new models. Witnessing a sales drop of 37 per cent in November, Bajaj has lined up new models starting January and extending up to six months. The company expects to cross their profit margin by releasing new motorcycles within the half-yearly period of 2009. Besides, in a strategy lined up to push sales, the company has asked its finance arm Bajaj Auto Finance Ltd to provide a retail finance scheme with an interest rate below 8 per cent.

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