KTM to Discontinue 125 Range in India

KTM looks set to discontinue its 125 range in India due to increased competition from its rivals, but is this a decision that could affect the European market long-term?

The last few months have certainly been a rollercoaster for the Austrian brand, with insolvency issues clouding its future, filing for self-administration, cutting participation in racing championships, making hundreds of people redundant and finding itself faced with debts of close to €3 billion.

The insolvency issues resulted in the brand needing to undergo a major restructuring process under creditors’ supervision, which was approved at the end of February. Another problem KTM ran into was the fact that thousands of unsold bikes have been stored away in warehouses, making the company’s life even more difficult as it looks to shape a brighter future.

But while that future might look positive at some point down the road, KTM has reportedly decided to pull the plug on its 125cc lineup in India. It means that starting from 1 April, the Duke 125 and RC 125 will no longer be on sale in the Asian country, as they won’t receive the necessary OBD2B updates.

The reason for this decision appears to be because of the fierce competition from Japanese manufactures including Yamaha as its R15 and MT-15 have become increasingly popular in the Indian market.

Small-capacity bikes are very popular in India, so this decision is somewhat of a head scratcher even if KTM is losing out to other brands at the moment. But it could also have an impact on the future of other markets. KTM’s 125cc bikes still play an important role in European markets.

It's possible that if KTM was to extend this decision to other markets, particularly Europe, then further financial pain could come its way as it would be getting rid of bikes that have long been enjoyed by young riders.

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