Bajaj rolls out new compact 3-wheelers

Bajaj Auto, the country’s biggest three-wheeler maker, has launched a new range of compact three-wheelers in the petrol, CNG and LPG variants. The range will be expanded in the next six months, including a diesel variant.

Priced in the Rs 1.03 lakh-1.15 lakh range (excluding taxes), the new three-wheeler platform consumed up to Rs 100 crore in product development costs.

Asked if the new model would cannibalise Bajaj’s existing RE60 model, Rajiv Bajaj, MD, said, “Both these vehicles will co-exist as three-wheelers are the preferred choice of people looking for affordable travelling.”

Bajaj Auto, which has been selling three-wheelers for almost 52 years in India, is looking at replacing its existing range of three-wheelers with the new vehicles.

It said that it will take at least six months for the company to completely replace the existing ones. Bigger three-wheelers will be added to its existing portfolio in the coming months, including the  Optima and Maxima, which will be launched in the next six months.

Last fiscal, the company sold 1.40 lakh compact three-wheelers and is looking to sell an additional 20,000 units this year.

The company sees majority demand coming from the replacement segment which currently accounts for about 80% of the sales, with new auto-rickshaw permits generating 20% of sales.

This fiscal, new permits are expected in Andhra Pradesh, Jaipur and Delhi, while replacement demand is expected from Kolkata and Maharashtra.