Hero MotoCorp is making significant strides in the electric vehicle sector through its partnership with Zero Motorcycles, as they are currently in the advanced stages of developing a mid-sized electric motorcycle. This collaboration follows Hero MotoCorp's investment of up to USD 60 million in Zero Motorcycles in September 2022. CEO Niranjan Gupta has indicated that the new bike will target the performance segment, aligning with the growing demand for high-performance electric vehicles in the market [07de1c89].
In addition to this new venture, Hero MotoCorp is also expanding its electric scooter range, which is currently priced between INR 1 lakh to INR 1.5 lakh. The company’s VIDA electric scooters are already making an impact, with sales in over 230 cities and 400 sales points across India. This expansion is part of Hero MotoCorp's broader strategy to enhance its presence in the electric vehicle market [07de1c89].
The company is optimistic about compliance with the Production-Linked Incentive (PLI) scheme by FY26, which is expected to further bolster its electric vehicle initiatives. Moreover, Hero MotoCorp is witnessing positive economic trends in the auto sector, with notable overseas traction in markets like Colombia and Mexico. Colombia has recently achieved cash and EBITDA positive status, indicating a successful market penetration strategy [07de1c89].
As Hero MotoCorp focuses on its top ten target countries while nurturing others, the partnership with Zero Motorcycles is poised to enhance its portfolio and competitiveness in the growing electric motorcycle segment [07de1c89].