Thursday, 13 August 2009 11:25
Motorcycle producers Kymco in Taiwan and Kawasaki in Japan have entered into a
joint venture to produce high-performance engines.
Under the contract, Kymco and Kawasaki will invest US$10 million to form Changzhou
Kawasaki and Kwang Yang (Kymco) Engine (CK & K) in the Changzhou National Hi-Tech
District to produce high performance general gasoline engines.
The newly-established CK & K facility will be located inside Kymco’s Research & Development,
product and sales facility in Changzhou, China. The facility will occupy a plant area of 6,240
square metres and is expected to commence production in January 2010.
Products of CK & K will be distributed around the world under the Kymco and Kawasaki brands.
Anticipated product volume is projected to reach 890,000 sets with an annual output value of
RMB420m.
General gasoline engines - also called all-purpose engines or multifunctional gasoline engines -
has an extensive market and is broadly applied to leaf blowers, power lawnmowers, tree-
dozers, pruners, small generators, water pumps and road cutting machines. There are also
obvious implications for the diversification and expansion of Kymco’s on-road and off-road
motorcycle range.
The excellent investment environment of Changzhou National Hi-Tech District has attracted
some of the world's most renowned enterprises such as Komatsu, Suzuki, Fujitsu, Fuji Heavy
Industries, Mitsubishi, Bridgestone and Kymco to invest and establish operations in the district.
Kymco manufactured over 570,000 scooters, motorcycles and ATVs last year, which means
that every 55 seconds, someone somewhere in the world was purchasing a Kymco. The
company – which holds ISO 9001 (the world manufacturing quality assurance rating) – is
renowned for its exceptional production quality and reliability and has recently launched a range
of ATVs and motorcycles in Australia to complement its existing scooter business.
“This is incredibly exciting news for Kymco both globally and in Australia and New Zealand,”
said Kymco Chief Executive, Stuart McLean.
“It is a clear signal of Kymco’s commitment to continually identify new opportunities, develop
new products, and ultimately facilitate further growth of this genuine global business.
“Kymco has already significantly grown its business in Australia with the successful introduction
of motorcycles and ATVs. We look forward to a raft of new developments from Kymco over the
coming year.”
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