Yamaha India Chairman Itaru Otani shares insights on the company’s strategic direction, upcoming launches, and market outlook in India.
Navigating the Market Landscape
Itaru Otani believes 2025 might be challenging for Yamaha India. He notes a slowdown in overall demand, particularly in the premium motorcycle segment. Otani anticipates economic recovery from the latter half of 2025, but a strong revival is not expected until 2026.
Yamaha’s Electric Vehicle Strategy
Yamaha is developing a powerful EV for the global market, but progress is slow. Their strategy involves both global platforms and country-specific partnerships. In India, Yamaha has invested in River Mobility.
This collaboration aims to leverage River’s speed and expertise in the Indian EV market. While a Yamaha-branded River scooter is in the works, Otani couldn’t specify a launch timeline. The partnership focuses on speed, meaning significant platform or battery changes are unlikely for the initial branded product.
Big Bikes and Regulatory Delays
Enthusiasts awaiting Yamaha’s 700cc and 900cc big bikes will have to wait longer. Otani confirmed that the delay is mainly due to adapting to the new E20 ethanol blend regulations and completing the homologation process. The company still plans to introduce these models to India, but specific timings remain unconfirmed.
The Future of Fuel: Ethanol and Hybrids
With the Indian government promoting ethanol, Yamaha has showcased flex-fuel models. Otani sees electric vehicles and flex-fuel as the most promising options for India, drawing parallels to Brazil’s established ethanol infrastructure.
Regarding hybrids, Yamaha is developing a “real” hybrid system in Japan. However, concerns about weight and cost make it less suitable for the Indian two-wheeler market. Instead, Yamaha plans to expand its mild hybrid technology, already present in some models, to more bikes in India. This technology contributes to better fuel efficiency and reduced CO2 emissions.
Expanding the Product Portfolio
Yamaha is evaluating the introduction of new categories in India. While they displayed the XTZ 250 Lander adventure bike at Auto Expo, bringing it to market depends on sufficient sales volume to justify local production.
For classic motorcycles, Yamaha currently lacks a global lineup similar to Royal Enfield. However, the company is open to introducing neo-retro models like the XSR 155 if demand picks up in India, noting its popularity in advanced countries.
Yamaha’s next major launch in India will target the premium segment. Otani emphasized that any new model would be developed with an “India first” approach, intended for export globally, rather than exclusively for the Indian market.
The Scooter Market and Export Growth
The 125cc scooter segment is growing, but Indian brands dominate it. Yamaha introduced the liquid-cooled Aerox 155 for its unique appeal, despite currently low demand. Otani hopes India will follow the ASEAN trend of evolving from mopeds to scooters and then maxi-scooters.
The Nmax 155 maxi-scooter, displayed at the Bharat Motor Show, received a positive response. Yamaha might introduce it depending on potential volumes, as it shares an engine with the Aerox. Meanwhile, Yamaha’s exports saw a 30% growth last year, shipping to 58 countries. They recently began exporting scooters to Europe and aim to expand to other advanced countries, provided Indian quality meets global standards.
- Yamaha India anticipates an economic recovery starting in late 2025, with stronger signs in 2026.
- Big bike launches are delayed due to E20 regulation compliance and homologation.
- EVs and flex-fuel are considered the most viable alternative fuel options for India.
- Yamaha plans to expand mild hybrid technology to more bikes in India.
- New product launches will follow an “India first, then global export” strategy.
As Yamaha India marks 40 years in 2025, Otani expressed gratitude to Indian customers and hinted at bringing “something exciting” to celebrate this milestone.
