KTM signs join venture deal with CFMoto

KTM and CFMoto have joined hands to setup a joint venture in China. This will give the Austrian manufacturer abilities to improve its Chinese business.

This new entity will be called CFMoto-KTMR2R and KTM will hold 49 per cent stake. The majority equity lies with CFMoto who has been KTM’s partner since several years. This Chinese company was responsible for the assembly and distribution of KTM bikes in China. KTM clarified that his joint venture won’t be limited to sales and distribution of KTM bikes but will also be extended to develop products for the global markets. 

KTM and Bajaj have a similar deal for the Indian market. Bajaj manufactures KTMs upto 400cc at their Chakan plant and in return, the company gets access to KTM technologies. In fact, Bajaj holds close to 48 per cent stake in the Austrian firm.