Yamaha Motor India is taking a distinct approach amidst India’s push towards greener mobility solutions. While the nation sets ambitious targets for electric vehicle adoption by 2030, Yamaha is steering towards ethanol-based flex fuels as a key component of its emissions reduction strategy.
Eishin Chihana, Chairman of Yamaha Motor India, outlined the company’s vision, emphasising a comprehensive approach to cleaner emissions technologies. Despite forecasts suggesting a 20% adoption rate for electric scooters by the end of the decade, Yamaha remains cautious, citing the current market share of electric scooters at 5-6%.
In contrast to calls for full electrification of two and three-wheeler segments by 2030, Yamaha advocates for technologies like ethanol-blended fuels to achieve emission targets. The company acknowledges obstacles hindering rapid EV adoption, including consumer behavior and infrastructure challenges.
Yamaha plans to introduce two EV models by 2030, acknowledging the limited but growing demand for electric scooters. However, the company’s primary focus remains on enhancing its premium motorcycle strategy and distribution network.
Flex fuel options, particularly E85, are central to Yamaha’s emissions reduction strategy. This approach aligns with the global trend towards sustainable fuels while addressing challenges associated with full electrification.
Chihana highlighted the importance of understanding consumer usage patterns, particularly for motorcycles, where daily mileage often exceeds that of electric scooters. Yamaha aims to cater to the preferences of urban, sporty motorcycle enthusiasts, particularly in the 125cc scooter and 150cc motorcycle segments.
Despite industry projections, Yamaha remains optimistic about its growth prospects, aiming for a 20% sales increase in 2024 over 2023. The company seeks to differentiate itself by targeting aspirational youngsters in urban and semi-urban regions.
While acknowledging the robust growth witnessed in the premium segment, Chihana attributed it to various factors, including improved semiconductor chip supplies. This growth underscores the potential of the premium segment to surpass initial projections.
