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Royal Enfield opens a new CKD factory in Brazil
To improve its delivery times and presence in the Latin American Region, RE marks its fourth factory outside of India.
Royal Enfield opens up a new facility in Brazil that will handle completely knocked down (CKD) unit assembly. The inauguration of the new plant marked a new beginning for the Indian-owned British brand in the Americas.
As one of the global leaders in providing stylish and classic motorcycles specifically in the 250cc to 750cc segments, Royal Enfield will be marking a new chapter in its journey in the South American markets, specifically in Brazil where it opens its fourth CKD facility. The new plant will serve the Latin-American markets and it joins RE's portfolio of facilities which also includes CKD plants in Thailand, Colombia, Argentina, and now Brazil.
The motorcycle brand has found yet another place in South America, and it has settled down in the Amazonas capital city of Manaus. The plant has a projected production capacity of 15,000 units per year, and it will cater to the growing demand for Royal Enfield motorcycles in Brazil.
Brazil has been a strong market for RE, and it's poised to become the largest market outside of India. Company executives have cited that there is more than 100 percent growth in the country, which was enough to bring RE over. The new facility has an expected production capacity of up to 15,000 units per year, and models like the Royal Enfield Meteor 350 and the Interceptor 650 will be assembled in Brazil alongside the entire RE lineup. With its new plant, Royal Enfield can promise its Brazilian clients seamless and quick delivery times for their motorcycles in the region.
Royal Enfield has been in Brazil since 2017, having made significant strides in the country. The brand now enjoys a seat in the top five players in the mid-size motorcycle segment in markets such as Brazil, Argentina, Colombia, Mexico, and North America.
“Royal Enfield has been working extensively to grow the middleweight motorcycling segment globally. With markets like the Americas region, Europe, and the Asia-Pacific growing significantly, it has been our strategic intent to be closer to these markets and grow the business. We commenced on this journey a couple of years ago and have set up strategic assembly facilities in Thailand, and in Argentina and Colombia in LatAm (Latin America). Brazil has been a very strong market for Royal Enfield, and is soon poised to be the single largest market for us outside of India. We have seen growth of more than 100% since 2019 here in Brazil. We are very happy to launch our fourth CKD facility globally here in Brazil and this is testament to our commitment to the region and the market potential, and to our growing community of riding enthusiasts in the market. We are confident that this facility will help us grow the mid-segment market here in Brazil while enabling us to efficiently cater to the growing demand”
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