Cycle News

Cycle News 2013 Issue 13 April 2

Cycle News is a weekly magazine that covers all aspects of motorcycling including Supercross, Motocross and MotoGP as well as new motorcycles

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P34 IN THE WIND EUROFILE: BMW AND LONCIN B MW Motorrad's record 2012 sales figures come partly thanks to its collaboration with Chinese manufacturer Loncin, which has been building the German manufacturer's G650GS single-cylinder four-valve engines in its Chongqing factory since 2005, with more than 35,000 power units shipped so far to BMW's Spandau plant in Berlin. In 2012 the German manufacturer sold 6191 of the G650GS plus 2100 G650GS Sertao models, for a total of 8291 units powered by these Chinesebuilt motors. Now Loncin has unveiled its own road bike using the same G650GS engine to power its new ownbadge CR9 naked roadster. It comes with the same 47 horsepower power output as the BMW, and in China costs just under $8000, making it very definitely a prestige model on Loncin's home market. But under the Chinese firm's license agreement with BMW, the new model cannot be sold outside China, not even in Asian markets where it might be expected to do well as a premium product to compete with the KTM 690 Duke now being marketed there alongside the smaller capacity 125, 200 and soon to arrive 390 Duke models built in India by KTM's partner Bajaj Auto. The decision by BMW's main board to offload its loss-making Italian subsidiary coincides with its decision to break off talks with TVS, the third-largest local manufacturer in India, about producing a range of low-cost Husqvarna single-cylinder streetbikes in the TVS factory in Bangalore - for global sale as both an entry-level product in developed markets such as Europe, the USA and Australasia, and a prestige model in developing markets, including in India. Talks on developing such a direct counter to the success of the KTM Duke 125/200/390 were well advanced, after being initiated by current BMW Motorrad boss Stephan Schaller's predecessor Hendrik von Kuenheim, when he visited the three largest Indian manufacturers in 2010. "TVS in Bangalore were by far the most professional, with the cleanest production line in India - The Loncin CR9 naked roadster. you could've eaten off that floor," he said in an interview at the time. "They're building a 125cc engine in a clean room like they have in Formula One, the room was pressurized so that no dust gets in, all for a 125cc engine that is built 3,000,000 times a year – they are very committed and very good. Some of them even speak German! There are a lot of advantages to build a bike in India, and I do think this could - or even will - work very well in the future for Husqvarna." BMW subsequently opened discussions with TVS about teaming up to build Husqvarnas, and the success of the KTM 125/200 Dukes, with 20,500 bikes built in India and sold worldwide in 2012, says this was a wise decision. Now, however, the BMW Group main board has now decided to realign its BMW Motorrad two-wheeled business in focusing on urban mobility and e-mobility, hence it has divested itself of Husky. It will be interesting to see if the German manufacturer's focus on urban mobility will extend to producing small capacity street singles under the BMW label, rather than Husqvarna, either in India – presumably through TVS – or indeed in China, in conjunction with its established supplier Loncin. Alan Cathcart

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