Bajaj Auto’s managing director, MD Rajiv Bajaj, has stated that the entry-level customers are unlikely to return in the near future, leading to a dull festive season for the traditional fuel-based segment. The company, which has seven motorcycle models in the entry segment between 100 and 125 cc, is facing pressure due to the impact of the COVID pandemic, job losses, and rising petrol prices. The sales of two-wheelers are reflecting the financial health of India’s rural economy and the demand in the lower and middle-income households. Bajaj attributed the waning interest in conventional vehicles to the rapid adoption of electric vehicles and called for disruptive action in the space. He proposed the development of compressed natural gas (CNG) two-wheelers by original equipment manufacturers, along with tax incentives from the government, as a way to attract and galvanize entry-level customers. The government aims to account for 70% of all two-wheeler sales to be electric vehicles by 2030. Bajaj Auto’s monthly domestic two-wheeler sales in August slumped by 31%, while exports rose by 2%.
Bajaj Auto not expecting return of entry-level customers in near future
- September 19, 2023
TIS Staff
wp_ghjkasd_staff