Husqvarna likely to make motorcycles at Bajaj Auto's Chakan facility

Husqvarna Motorcycles, a subsidiary of KTM, once owned by BMW and which traces its origins to 1689, is likely to develop and produce motorcycle parts at the Bajaj Auto facility in Chakan, Pune.

The engine and components produced and developed in India are expected to be shipped and assembled at the KTM headquarters in Austria before they are sold globally. The dispatches to international markets are expected to start from 2017.

If the company is happy with the results and as production gains momentum, it will replicate the exercise in other emerging markets. Bajaj Auto's large production facilities will help to keep costs low.

Husqvarna began as a gun-maker in the eponymous town in Sweden in 1689. It began manufacturing bicycles in the late 19th century and started producing motorcycles in 1903.