Royal Enfield Expands into Sub-300cc Segment with New 250cc Bikes

Royal Enfield's Ambitious Expansion Plans
Royal Enfield is actively working to broaden its presence in the sub-300cc and 350cc motorcycle market by introducing a range of new smaller engine models. Reports indicate that the company is in advanced discussions with the Chinese motorcycle manufacturer CF Moto to license engine technology for a new series of 250cc motorcycles, as highlighted by a recent automotive publication.
Meeting Fuel Efficiency Standards
This strategic move by Royal Enfield aims to align with India's upcoming fuel efficiency regulations. Additionally, it will enable the brand to introduce a new motorcycle in the sub-350cc category, thereby enhancing its sales potential in this emerging segment.
Innovative Hybrid Engine Development
The New 250CC Engine To Be A Hybrid
The collaboration between Royal Enfield and CF Moto will yield an engine designed to meet India's strict BSVI phase 2 emissions standards and the forthcoming Corporate Average Fuel Efficiency norms for two-wheelers. The engine, developed by CF Moto, is expected to incorporate hybrid technology, positioning the brand for future advancements.
This hybrid adaptability will allow Royal Enfield to transition towards mild and full hybrid configurations in the coming years. While the engine will be sourced from CF Moto, Royal Enfield will retain its signature style by designing the chassis, suspension, and overall aesthetics of the motorcycles independently. The partnership will focus solely on technical collaboration, with no co-branded models being produced.
Targeting the Entry-Level Premium Market
Expansive Plans With The New Powertrain
With the introduction of this new engine, Royal Enfield aims to capture a significant share of the rapidly growing entry-level premium motorcycle segment. The anticipated pricing for these bikes will range from Rs 1.25 lakh to 1.35 lakh, strategically positioned below the 350cc models to facilitate upgrades for riders transitioning from 100-150cc motorcycles.
The hybrid initiative is part of Royal Enfield's broader objective to double its annual production from 1 million to 2 million units by 2030. In addition to the hybrid plans, the company is also focused on developing a new 750cc twin-cylinder platform and an electric vehicle program, as it seeks to diversify its product lineup.