THE Philippine motorcycling industry got a huge shot in the arm when KTM Asia Motorcycle Manufacturing Inc. (KAMMI), a joint-venture partnership between Adventure Cycle Philippines Inc. owned by AC Industrial Technology Holdings Inc. (AC Industirals), a member of the Ayala Group of Companies, and Austrian motorcycle giant KTM AG inaugurated its state-of-the-art manufacturing facility at the Laguna Technopark in Santa Rosa, Laguna, on June 6.
KTM, which has its roots in off-road racing, has grown and diversified its line of motorcycles and has experienced phenomenal growth in the last decade. KTM, once one of the minor players in the industry, has developed into one of its giants and now sits as the fourth-largest motorcycle manufacturer in the world today.
The KTM Philippines plant will initially assemble four models at its facility in Laguna—the Duke 200 and Duke 390, as well as the RC 200 and RC 390. The initial production run will be 6,000 motorcycles, with the goal of eventually producing 10,000 units annually. The production run will not just be sold on the domestic market but will also be exported to neighboring Asean markets, as well as to China, which is arguably the largest motorcycle market in the world.
The plant is a truly impressive piece of work. It operates at an efficiency level higher than that of the aircraft industry, with just four defects per million. This assures that the motorcycles assembled here will be of the highest quality and will be truly world class.
Art Tan, AC Industrials CEO, disclosed that the Ayala group’s foray into motorcycle assembly is in line with the company’s push in bolstering its growing manufacturing portfolio.
“We are further expanding our capabilities as part of our thrust of fostering synergies with Ayala companies,” said Tan. “Combining the competencies of our manufacturing and distribution arms allows us to scale our presence in this space, taking advantage of evolving movements in technology, automation and industrial technology.”
The plant should have a very positive impact on Filipinos and the country’s economy. It will provide jobs, supply chain opportunities and put the country on the map as a center of innovation and industrialization.
KAMMI hopes to increase its KTM dealerships to 32 dealers nationwide within the year, each one providing sales and postsales support—making sure to get one of the world’s best motorcycles into the hands of Filipino motorcycle enthusiasts throughout the land.