Hero MotoCorp, in line with its ambition to establish a global footprint, on Friday, said it expected to start selling products in the U.S. by 2016 and is looking at entering the Argentina market.
Speaking on the sidelines of the SIAM annual convention, company Vice Chairman and Managing Director Pawan Munjal said, “The products have to go through the testing process [in the U.S.]. Sales will most likely happen in the summer months of calendar 2016.”
Asked about foray into newer markets, he said, “We are serious pursuing Argentina… team is going there and doing due diligence. We are sure we would soon find a partner and launch there.”
The company would start operations in Brazil in 2016 and was now working on ethanol-powered engines for the market, he added.
In the run up to the festive season, the company is also launching 12 new refreshes of its products this year. “We have already started sending some products to the market and rest will be coming in the next few days,” Mr. Munjal said, adding that Hero expected to top last year’s sale of six lakh units during the 40-day festive season.
Additionally, Hero plans to launch three new models in the domestic market by early next year, including two new scooters.
Mr. Munjal said construction of its Gujarat plant would begin soon, while production at the facility would start by the third quarter of next financial year. The plant would have an installed capacity of 1.8 million units annually. The company’s current production capacity is 7.65 million units.
Commenting on the proposed plant in South India, he said the company was yet to finalise the site for the facility.
On whether the company is looking at hiking prices, he said, “There is pressure on pricing for sure so there will be some price corrections off and on.” He, however, did not provide specific details.
