Bajaj Auto shares gain on reports of CNG motorcycle launch in June 2024
Upstox
2 min read • Updated: March 26, 2024, 2:55 PM
Summary
The CNG motorcycle is expected to be in the 100 cc to 125 cc segment. While it’ll offer enhanced environmental benefits, the CNG bike is expected to cost more than its petrol counterpart, according to reports.
Shares of Bajaj Auto Ltd gained on Tuesday after media reports suggested that the leading two-wheeler manufacturer is all set to launch a CNG-run motorcycle in June 2024.
According to reports, Bajaj Auto is actively working on a line-up of Compressed Natural Gas (CNG) motorcycles. This was revealed by Bajaj Auto managing director, Rajiv Bajaj, who added that the first of such motorcycles is slated to debut in June this year.
According to the MD, the motorcycles powered by CNG will attract environmentally conscious consumers and provide improved fuel efficiency.
Bajaj said that the new bike is expected to be launched under a distinct brand, highlighting how the Centre has successfully expanded the CNG network throughout India. Emphasising the company’s transition from scooters to bikes and domestic to international markets, Bajaj added that the third shift is currently towards new energy vehicles.
According to media reports, the new motorcycle is expected to be in the 100 cc to 125 cc segment. Because of the increased manufacturing costs, the CNG motorcycle is expected to cost more than the petrol version.
According to Bajaj, the higher cost is related to CNG technology and the specialised tank, which allows for both petrol and CNG fuel options.
The MD revealed that Bajaj Auto sells around 60,000-70,000 CNG-run three-wheelers every month and the three-wheeler industry has largely migrated to CNG fuel in the last five years, the reports mentioned.
Shares of Bajaj Auto Ltd were trading 0.16% higher at ₹8,959 apiece on the NSE at 2:53 pm.