It appears India’s motorcycle maker Bajaj Auto will be entering a manufacturing partnership with Triumph UK, with a formal contract being signed by the third quarter of 2020. This was reported in financial site Money Control, quoting a statement from Rakesh Sharma, executive director of Bajaj Auto.

Discussions between the two firms have been on-going for two years, with much speculation and rumours about what form such a contract would take. “All the principles of engagement (between Bajaj Auto and Triumph) have all been satisfactorily and amicably resolved. These are now embedded in a formal contract, which is in its last stages of preparation,” said Rakesh.

According to Rakesh, discussions are already on-going with regards to manufacturing as well as research and development with the contract itself nearing finalisation. “…there is nothing left to debate in it. It is just a matter of transcribing the principles into a (formal) language,” he said.

Reports say the partnership between Triumph and Bajaj will be similar to the current manufacturing arrangement Bajaj has with Austrian bike maker KTM. The major difference is while Bajaj holds a 48% equity share in KTM, the arrangement with Triumph will be a straight forward manufacturing contract.

Triumph currently operates an assembly plant in Manesar, Haryana with 13 models sold in the Indian market with 978 units sold in India out of a total 64,752 bikes sold worldwide. The Bajaj plant in Chakan will see Triumph motorcycles built alongside current brands KTM and Husqvarna.

It is envisioned that Bajaj’ own brand will cater for the entry-level market with KTM and Husqvarna filling the 200 cc and above niche while Triumph will be targetted to the higher end. Bajaj also supplies Malaysian bike maker Modenas with four models – the Pulsar RS200 and NS200, the V15 and the Dominar 400.