M&M scouts for engine partner for 2 wheelers

Mahindra Two Wheelers is reported to be looking for an international partner for making engines for its two wheelers. The company on Wednesday signalled its plan to rope in a partner for two-wheeler engines and said it would make an announcement on the same soon. At present, the company is sourcing engines for its scooters from Taiwanese firm SYM. However, it is not known whether the company is looking for partner for motorcycle engines or for the entire two-wheeler portfolio. It is to be noted that the company has lined up three new motorcycle launches during the current financial year. “Our scooter engines are presently made through a licensing agreement with SYM of Taiwan, but these engines are upgraded in India by our own R&D capabilities. Going forward we will make an announcement for engines,” Viren Popli, senior VP – strategy and market development, Mahindra Two Wheelers said after launching its new 125cc scooter Rodeo Rz here. “Over the past 12 months, we have been working very hard and building a strong R&D capability in two-wheeler business. Today, we have about 160 engineers working at R&D for two-wheelers. Our R&D also has access to Mahindra Research Valley (MRV) in Chennai. While we work with MRV, we also have a separate R&D facility in Pune,” he added. However, he declined to elaborate on the proposed plan for two wheeler engines while stating that the association with SYM for scooter engines is a long standing one. Mahindra Two Wheelers has been aggressively expanding its product portfolio in the scooter segment and the present launch of Rodeo Rz, which will carry a price tag of Rs 50,710 (ex show room, Chennai), is aimed at strengthening its presence in the segment as also to boost its scooter sales. While it continues to examine market potential for further launches in the scooter segment, it is also eyeing motorcycle segment. It is proposing to roll out three motorcycles across segments during this year. The company had launched its first motorcycle 110 cc Stallio in 2010, but stopped production in early 2011 due to some problems. “Stallio will come back soon,” indicated Popli.