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        KTM, Husqvarna to boost local production with new engine assembly line

        The brands are streamlining operations to meet demand
        by Aris Ilagan Aug 13, 2021
        PHOTO: KTM Philippines
        MOTORCYCLE BRANDS IN THIS ARTICLE

        To meet the growing demand for KTM and Husqvarna motorcycles in China and other Southeast Asian countries, the brands’ motorcycle facility in Laguna has opened its new engine assembly line.

        “The motorcycle market in ASEAN and China have had a very strong demand for the KTM and Husqvarna brands. The partnership with Ayala and KTM has been a fruitful one, not only for the business—but more so for the livelihood and talent of the Filipino to shine in the ASEAN and China stage,” said Arthur Tan, group president and CEO of AC Industrials and KTM Asia Motorcycle Manufacturing, Inc. (KAMMI) in his post on social media.

        “Our expansion to build an engine facility allows us to have a more efficient production flow as we reach more volumes. The model mix of KTM and Husqvarna continues to grow and we are looking at ‘economies of scale’ in order for us to meet the demand,” Tan added.

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        Initially, there were only four KTM models being assembled at the KAMMI plant when it started operations. Now, KAMMI manufactures 13 KTM bikes and three Husqvarna nameplates.

        “The KTM engines were semi-assembled units (here in the Philippines). They come from different areas and origins. It’s a very complex integration of sorts. This year we intend to streamline the process and have one consolidated push,” explained KTM Philippines president Dino Santos.

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        From 2017 to 2020, the KAMMI facility produced some 29,000 KTM motorbikes, with 7,000 units produced last year. With the dedicated assembly line for KTM and Husqvarna engines, the group is expecting to come up with 12,000 motorbikes by the end of this year. And if our insider’s information is accurate, 70% of KAMMI’s total production is exported to other countries, including China.

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        PHOTO: KTM Philippines

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