Hero MotoCorp Is Looking To Lead In Electric-Two-Wheeler Segment

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A file photo of Hero Motorcorp Company's logo

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According to the annual report of Hero MotoCorp for 2021-22, Hero MotoCorp is the largest two-wheeler manufacturer in India and is looking to take the lead in the electric-two-wheeler segment worldwide.

According to the annual report of Hero MotoCorp for 2021-22, Hero MotoCorp is the largest two-wheeler manufacturer in India and is looking to take the lead in the electric-two-wheeler segment worldwide.

The company is currently the global leader in the traditional two-wheeler section. However, it plans to expand into electric in the festive season. Hero MotoCorp reached 100 million cumulative productions last year. This milestone was achieved since 1984 when it was founded.

In 1994, the company achieved its first million cumulative production milestones. It went on to produce 50 million units in 2013, and 75 million in 2017.

“This year will see Hero MotoCorp claim its position in the exciting clean mobility space in a bold avatar. Hero MotoCorp will transform its leadership in the internal combustion engine (ICE) market into the electric vehicle space – globally!” the company Chairman and CEO, Pawan Munjal informed shareholders.

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He said that the company was well-equipped for the future.

“As we have our eyes on the production of the next 100 million by the end of 2030, we are taking strides towards sustainability and electrification with a single-minded determination to ‘Be the Future of Mobility’,” Munjal said.

He further said, “All I can promise is that, while the first 100 million was achieved with the production of motorcycles and scooters, the next 100 would certainly be an all-new, innovative, and greener body form.” It has launched ‘Vida,’ its new brand identity to promote emerging mobility solutions in line with the company’s vision of leading the mobility transition.

“Through Vida, which means ‘life’, we will not only revolutionise the electric mobility space, but will also ensure a cleaner, greener and better future for generations to come,” Munjal said.

He pointed out that India will be able to benefit from the largest battery-swapping network in the world thanks to Taiwan’s Gogoro Inc.

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“We are in discussions with Bharat Petroleum Corporation Ltd to set up battery charging infrastructure for EVs across the country,” Munjal said.

He noted that Ather Energy has made a significant investment in 2016, and the company will be accelerating its electric journey. Munjal spoke out about other initiatives and said that the company is focusing on digital initiatives to drive sales.

“The company has launched a sales and aftersales services platform on WhatsApp. Going forward, we expect 30 per cent of our sales to be generated from digital channels,” he added.

Munjal stated that the two-wheeler sector was facing multiple headwinds due to low demand and ongoing challenges in the supply chain. He noted that the rural markets, which make up more than half of India’s annual scooter and motorcycle sales, remain under economic stress.

“Higher material costs, shortages of products and services, and soaring fuel prices increased the cost of ownership, further dampening consumer sentiment and their ability to buy. All of these events impacted two-wheeler sales in India,” Munjal stated.

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Hero MotoCorp aimed to offset the negative impact by increasing exports, prioritising projects, optimizing costs, improving internal processes and reevaluating options. In 2021-22, the company earned Rs29,802 crore.

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