KTM future is set to be reshaped as Asia takes center stage in its production strategy. Bajaj Auto, which now holds a majority stake in KTM through Pierer Bajaj AG, has outlined plans to increase manufacturing in Asia, particularly India. Rajiv Bajaj, Managing Director of Bajaj Auto, highlighted that shifting production away from Europe is essential to address cost challenges and secure KTM’s long-term competitiveness in the global motorcycle market.
Rajiv Bajaj’s Vision for KTM
In an August 2025 interview with CNBC-TV18, Rajiv Bajaj stated, “We need to reset KTM’s costs. Production in Europe is dead.” He pointed to Triumph’s success with its Asia-based production model, particularly in Thailand and India, as an example for KTM to follow. Rajiv Bajaj emphasized that Asia, including India, is key to achieving cost competitiveness for KTM’s global operations.
Current Production in India
Bajaj Auto’s Chakan plant in India already produces KTM motorcycles, such as the Duke and RC series, for both domestic sales and export to global markets. These models include the KTM 200 Duke and RC 390, among others.
European R&D to Stay
Rajiv Bajaj clarified that KTM’s Austrian R&D base will remain central to the brand’s design and engineering. He stated, “The Austrian R&D base will continue to define KTM’s design,” ensuring the brand’s performance credentials are maintained.
Response from KTM
KTM’s CEO, Gottfried Neumeister, responded to Rajiv Bajaj’s comments, stating there are “no current plans to relocate production” from Europe. However, Rajiv Bajaj’s remarks reflect Bajaj Auto’s intent to prioritize Asia for manufacturing efficiency.
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