Royal Enfield Begins CKD Assembly Operations In Thailand

Royal Enfield has announced commencement of operations of its exclusive local assembly unit and CKD (completely knocked down) facility in Thailand, one of the world's largest automobile manufacturing hubs. Set up in partnership with GPX, this announcement is a significant boost to the company's business in Southeast Asia and further reiterates Royal Enfield's commitment to the Asia-Pacific region. With the Thailand facility, Royal Enfield now has three local CKD units, in Argentina, Colombia in Latin America, and now in Thailand. These are in addition to three state-of-the-art manufacturing facilities in Chennai, India.

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The Thailand CKD facility will act as a Royal Enfield distribution hub for all other countries in Southeast Asia

In addition to catering to consumers in Thailand, this assembly unit will act as a distribution hub for all other countries in Southeast Asia, including Indonesia, Vietnam, etc., thereby offering significant advantage and growth opportunities for Royal Enfield, the company said in a press statement. To begin with, the facility will start local assembly of the Royal Enfield Himalayan, Royal Enfield Interceptor 650 and Royal Enfield Continental GT 650 models, starting this month.

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Royal Enfield unveiled special Anniversary Edition models of its 650 Twins at the ongoing EICMA 2021 show in Milan, Italy. Only 480 Anniversary Edition bikes of the Interceptor 650 and Continental GT 650 will be built.

Speaking about the start of operations of the Thailand CKD Plant, B Govindarajan, Executive Director, Royal Enfield, said, "Royal Enfield has been working extensively to grow and expand the middleweight motorcycling segment globally. With a strategic view to grow the business and cater to increasing demand we have been pursuing our plans to set up local assembly units in priority markets beginning with Argentina in 2020 and then Colombia earlier this year.

"Continuing this journey and marking a first for us in the Asia Pacific region, we are very happy to announce the commencement of operations at the CKD assembly plant in Thailand. A testament to our commitment to the region and the market potential, and to our growing community of riding enthusiasts, this facility will enable us to efficiently cater to the growing demand in the Asia-pacific region, and also become the hub for the rest of Southeast Asian markets."

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The Royal Enfield Interceptor 650, along with the Continental GT 650 form the backbone of the brand's push into overseas markets.

Thailand is a crucial market for Royal Enfield since the brand's introduction in the Southeast Asian market in 2015. While recording significant growth in Thailand, and the Asia-Pacific region, Royal Enfield is now amongst the top five players in the premium, mid-size motorcycle segment in markets such as Thailand, Australia, New Zealand and Korea. The company says the new assembly unit will be a critical boost for business growth in Southeast Asia.