Bajaj Auto unveils new bike engine

In keeping with its strategy of gradually exiting the 100cc motorcycles segment, two-wheeler major Bajaj Auto on Thursday unveiled a new engine technology, digital twin spark swirl induction (DTSSi), offering fuel efficiency and better performance.

The company's research and development team has developed the 125cc engine. A new motorcycle "� Exceed "� would be launched early next month on this engine platform and would mark Bajaj Auto's entry into the 125cc segment, Managing Director Rajeev Bajaj told mediapersons.

"The new vehicle will offer the fuel efficiency of a 100cc engine with much greater torque and performance," Bajaj said, indicating that the new motorcycle would be priced close to Rs 42,000 (ex-factory).

Pointing out to the declining sales of 100cc motorcycles across the industry, Bajaj said the situation was a result of product fatigue. "There is no incentive for the manufacturers to introduce new products in the 100cc segment as the segment offers very thin margins," Bajaj said, adding that the company had been able to keep the new product's cost structure close to the 100cc product's and would resort to performance-based pricing in a manner that got higher margins.

The DTSSi technology gives better fuel efficiency by introducing swirl induction to the DTSSi engine to create turbulence in order to achieve efficient combustion. The technology has been in existence for a few decades, but is used on larger capacity diesel engines. "We have been successful in customising the technology for use in smaller engines, using gasolene as fuel," Abraham Joseph, head of R&D, said, adding that the company had applied for a patent for this innovation.

Bajaj said the production of motorcycles using the new engine would begin at the company's Waluj (Aurangabad) plant from August 10, with an estimated production of 20,000 units in September.

The production would be later ramped up to 50,000 units from November. Admitting that the new product would cannibalise the 100cc Platina to an extent, Bajaj said the Exceed volumes with higher margins would justify the trade-off.

"We are not making money in the lower 100cc segment and will be able to concentrate on the high-margin, high-capacity engines, where we have a greater market share," he stressed.

"We are exiting the 100cc products and not the 100cc buyer, who will get a much better product in the 125cc segment at a marginally higher price," he said.

He declined to answer any queries on the company's small car project or the plans to tie up with UK-based Triumph for high-end motorcycles.