Bajaj to raise Chetak production to 80,000 units a month by Q4 FY2027

Bajaj Auto plans to increase monthly production of the Chetak electric scooter to around 80,000 units by the fourth quarter of FY2027 (January-March 2027), from just over 62,000 units currently. Joint Managing Director Rakesh Sharma said this following the company’s Q2 FY2027 results, adding that demand continues to exceed production and that Bajaj is also evaluating locations for a sixth manufacturing plant.

  1. Chetak production to increase from just over 62,000 to around 80,000 units a month
  2. Production had been limited to about 40,000 units a month by earlier supply disruptions
  3. The Chetak range will be expanded over the next six months

Chetak production is back at full capacity

Bajaj had previously been able to build only around 40,000 Chetaks a month against an available capacity of 60,000 units because of supply disruptions. Sharma said that while production is now back at full capacity, demand remains higher than output. Bajaj expects to complete further debottlenecking in the January-March 2027 quarter, taking Chetak production to close to 80,000 units a month.

The capacity constraints aren’t limited to the Chetak. Sharma said Bajaj is also facing constraints in its premium motorcycle and internal combustion engine businesses, which is why it is considering a new plant. “We are in serious discussion with a few states and assessing where we should base our new sixth plant,” he said, adding that a cross-functional team is evaluating locations and proposals across India. Bajaj hasn’t disclosed the proposed investment, production capacity, location or timeline.

According to Sharma, electric vehicles account for around 25 percent of scooter sales in India, and this could reach 50 percent over the next three to five years. He said penetration varies widely by state, at around 40 percent in Odisha and 30-35 percent in Maharashtra, compared with 10-12 percent in Gujarat.

The company plans to expand the Chetak range over the next six months to cater to more customer requirements, but Sharma didn’t comment on what types of models or variants are planned.

With input from Darshan Nakhwa



Source link

Leave a Reply

Your email address will not be published. Required fields are marked *