Royal Enfield's new Thailand plant should benefit Australia

Royal Enfield has opened the doors of its new assembly plant in Thailand – a move that should strengthen the brand’s presence in Australia. 

The new CKD (complete knock-down) facility is Royal Enfield’s sixth assembly plant outside India, after Argentina, Columbia, Brazil, Bangladesh, and Nepal. 

Situated in Bangkok, the new 57,000 sq ft plant has capacity for 30,000 units per year, with the brand hoping it will facilitate more efficient and flexible delivery for customers. 

Initially, the plant will cater for the burgeoning Thai market, before gradually serving other markets in the Asia-Pacific (APAC) region, including Australia. 

“With markets like the Asia-Pacific offering a great potential for the mid-size segment, it has been our strategic intent to be closer to these markets and grow the business,” said Royal Enfield CCO, Yadvinder Singh Guleria in a statement. 

Royal Enfield has made no secret of its desire to grow the middleweight segment globally and is already among the top brands in the segment in markets such as the UK, Korea, Australia, and New Zealand. Thailand presents another opportunity for growth potential in Royal Enfield’s global plans. 

“We have seen great reception from the international audience who are looking for motorcycles that are accessible and are a unique extension of their personality,” said Royal Enfield CEO, B Govindarajan. 

“Our strategic intent is to have an international expansion strategy of investing in markets with huge potential to grow. The Thailand assembly plant caters to this vision.”

Royal Enfield’s APAC boss, Anuj Dua reiterated the focus on Thailand.

“It has been our constant endeavour to not just develop, but expand the mid-sized motorcycle segment in Thailand,” he said. “Thailand has been a strong market for Royal Enfield and has displayed a steady growth trajectory.” 

Royal Enfield models are distributed in Australia by Melbourne-based Urban Moto Imports. In theory, the Thai plant should allow for quicker shipping times Down Under.