In a bid to spread its legs in the Indian market, India Yamaha Motor today inaugurated their third facility in the country in the presence of Tamil Nadu Chief Minister J Jayalalithaa and India Yamaha’s Chairman Hiroaki Fujita. Spread in over 177 acres this new facility, which is located on the outskirts of Chennai, also houses a vendor park within its limits. With two plants, operating in North-India, Yamaha’s third plant in South-India will enable the company to produce 2.5 million units by 2018.
On this occasion, India Yamaha Motor Chairman Hiroaki Fujita commented, “We are pleased with the timely completion of Chennai factory construction and start of operations in line with our Mid-term plan. We also thank all the concerned Tamil Nadu government departments for their support in completion of the project on time. We plan to invest a total of Rs. 1,500 crores in phases till 2018 when the new plant is expected to have a capacity of 1.8 million units.”
“The company has sold 7.4 lakh units in 2014 and we are eyeing double-digit sales growth in 2015. The company is also targeting a significant increase in the domestic market share in the coming three years. Considering the high growth in the scooter segment at 25-30% over the last few years, the company is also looking at increasing its presence in this segment in which it currently has more than 5% market share. South has been a very important market for us. The region contributes around 30% to the total two-wheeler demand while it contributes approximately 50% to total IYM sales. Chennai is also a strategic market for us due to its proximity to the sea port.”