KTM Philippines inaugurates Laguna assembly plant

A+
A
A-

KTM Asia Motorcycle Manufacturing Inc (KTM AMMI), a partnership between Ayala Corp. and Austrian company KTM AG, formally inaugurated its assembly plant in Laguna Technopark in Binan, Laguna on June 6, 2017. The gleaming facility is located inside Integrated Micro-Electronics Inc (IMI), another Ayala Corp. subsidiary. The KTM joint venture is part of the Ayala Automotive group, with production subcontracted to IMI.

Dino Santos, President and Chief Operating Officer of KTM AMMI announced that 500 motorycles have already rolled off the production line. The assembly plant has an annual capacity of 60,000 units. KTM established its first dealership just nine months ago, and the company already has 21 dealership. KTM is targeting to expand to 34 dealerships in 2017, and eventually to 52 dealerships.

In attendance were Ayala Corporation President and COO Fernando Zobel de Ayala; Arthur Tan, President and CEO of AC Industrial Technology Holdings, which houses IMI and the Ayala Automotive group; Peter Perberschlager, KTM AG Vice President, Sales for Asia Pacific, Africa and Middle East; and Senator JV Ejercito.

On display was the KTM 390 Duke. The premium motorcycle model is chock full of the latest riding technology, including ride by wire system, cellphone tethering and TFT instrument panel.

The factory will export motorcycles initially to China, and to ASEAN countries by 2018. KTM AMMI has is a member of the Philippine Motor Vehicle Development Program. KTM applied to invest a total of Php290.6 million, comprised of assembly operations (Php114.17 million) and parts manufacturing (Php176.46 million). The venture projects to sell 3,000 to 5,000 units for the Philippine market while exporting the rest to China, Thailand, Vietnam and Cambodia. The Philippine motorcycle industry is targeting to sell up to 2.5 million units annually by 2020.

KTM is an Austrian motorcycle manufacturer owned by CROSS Industries AG and India-based Bajaj Auto Limited.



Get Inquirer updates while on the go, add us on these apps:

Inquirer Viber

latest stories

advertisement