VOL. 55 ISSUE 16 APRIL 24, 2018 P111
directly opposite CFMoto's exist-
ing factory, with a potential annual
capacity of 50,000 motorcycles.
"We have been very positively
impressed by CFMoto's quality of
manufacture, attention to detail, and
engineering capability," says Florian
Burguet, Managing Director of KTM
Sportmotorcycle AG. "Accordingly,
from 2020-2021 onwards, we have
decided that Hangzhou will host the
entire production of KTM's mid-class
models for the global market, with
the expectations that our CFMoto
partners will produce up to 50,000
KTM motorcycles per year there."
This will allow the KTM/CFMoto
JV to export those middleweight
KTM (and Husqvarna?) parallel-twin
models in fully built-up form—but at
a lower price, because of reduced
manufacturing costs in China—to
developed markets such as Europe,
the USA and Australasia, as well as
to ASEAN countries with which China
has a free trade agreement. They'll
also be sent in CKD form to KTM's
assembly plants in South America,
as well as to Bajaj in India, for them
to assemble locally in order to avoid
import duties, in a neat turnaround
of the existing arrangement for the
Indian-made Duke singles! This will
deliver much-needed extra capacity
at KTM's Mattighofen home factory,
which has an effective production
ceiling of 200,000 units per year,
and in 2017 already utilized 75% of
that. And almost inevitably, it's un-
derstood that we could also see an
adventure bike from CFMoto using
the KTM 790 engine!
CFMoto's great leap forward to
become the first Chinese manu-
facturer to produce large-capacity
multi-cylinder motorcycles—it was
already the first to manufacture
any model with more than a single
cylinder—was announced by the
unveiling of the KTM LC8-powered
V.02 Concept model on Decem-
ber 12 in front of more than 500
Chinese dealers and media at its
annual Domestic Sales Summit at
the Hangzhou factory. "We wanted
to demonstrate that CFMoto has
the capability to satisfy our custom-
ers' need for larger-displacement
models, as part of our intention to
provide greater choices for custom-
ers in future," said Lai. "It's intended
as a great showcase of CFMoto's
access to advanced technology
in design and styling. While other
companies in the domestic Chi-
nese powersports industry were
developing 125/150cc NK bikes,
CFMoto was making our 650NK
model, on which we are already on
to the second generation. And while
other companies are developing
KTM's planned new factory in China.
And almost
inevitably, it's
understood that
we could also see
an adventure bike
from CFMoto
using the KTM
790 engine!
