Milan, Nov 5 (PTI) Royal Enfield is planning to introduce its electric bike initially in developed markets such as Europe and the US where it anticipates better traction for the premium product, a top company executive said on Tuesday.
Royal Enfield, a division of Eicher Motors, forayed into electric bike space on Monday with the unveiling of its first model under the all-new Flying Flea brand.
The classic-styled Flying Flea C6 is expected to hit the markets in early 2026.
Eicher Motors MD and CEO Sidhartha Lal told reporters here that C6 is probably the first bike where India may not be a priority market for introduction.
"Obviously, it's (India) always important for us. But there are other markets that will probably have better traction first and then over time, India will also have good traction," he stated.
The electric product, however, allows the company to enter a full new space, which it would not have catered with petrol bikes, Lal said.
He noted that broadly, the company will initially focus on marketing the Flying Flea C6 in countries in Europe, the US, and some individual cities like Bangkok (Thailand) and Sao Paulo (Brazil).
Lal stated that the electric model would allow Royal Enfield to cater to an all-new segment below its mid-sized bikes.
"For the last 25 years, our focus has been on the mid-sized segment and we have done very well in that. We have grown the segment around the globe," he added.
While noting that the company has no interest in entering the entry-level bike segment, Lal stated that C6 would allow it to cater to a new set of customers, he added.
"I don't think we will ever be at the entry level but maybe you add a couple of notches up and that's where this (C6) will be positioned around the world," Lal said.
He noted that because of the premium positioning and pricing the electric bike will have better traction in global markets as compared with India.
The company, which is a leader in the mid-sized bike segment globally, is also exploring ways to sell its electric two-wheelers across markets.
Different markets may require different sales strategies, including outright purchase and installment purchase options, Lal said.
Royal Enfield CEO B Govindarajan said the electric products would be manufactured at the company's new plant in Chennai that would have an installed production capacity of 1.5 lakh units per annum.
He noted that the electric market in India is growing slowly with subsidies playing a significant role in sales.
The total cost of ownership for electric vehicles is becoming attractive but it will take time for consumers to adopt them, he noted.
On the company's investment in the electric segment, he noted, "We have applied for the PLI scheme along with VECV. It (PLI scheme) requires a minimum of Rs 2,000 crore investment. So that's the initial kind of capital we are putting on the electric segment." Elaborating on the company's overall business, Govindarajan noted that the proportion of business from international markets is expected to increase over time but it is too early to predict the exact ratio.
Royal Enfield currently gets 10-11 per cent of its overall sales volume from international markets and the rest from India.
On Tuesday, Royal Enfield showcased the new Classic 650 and new Bear 650, along with a few other models.
The company on Monday forayed into the electric segment with a completely new brand, Flying Flea.
Speaking at the unveiling, Lal said the company will introduce a number of products under the brand over the next few years.
"The way we look at (EVs) it, we are going for disruption not throwing the dice and hoping for the best. We believe in this as a starting point of a family, that is going to grow" he stated.
He further said, "We are going to keep at it as we go doggedly, keep evolving, keep changing but with this concept and idea in mind." The company is going to source battery cells from outside and produce other components like battery packs and motors in-house, Lal said.
The Chennai-headquartered firm had showcased its first-ever electric vehicle design concept here at the EICMA Motor Show last year.
Royal Enfield sells models like Meteor 350 cruiser, Interceptor 650 and Continental GT 650 twins, the all-new Himalayan adventure tourer and the Bullet 350 and Classic 350 singles.
It operates through more than 2,100 stores across all major cities and towns in India and through nearly 850 stores in more than 60 countries around the globe.
Royal Enfield reported a 31 per cent year-on-year rise in total sales at 1,10,574 units in October.
International business sales were at 8,688 units last month against 3,477 units in October last year. PTI MSS TRB
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