Hero MotoCorp rides on Harley-Davidson partnership to accelerate premium push

Hero MotoCorp rides on Harley-Davidson partnership to accelerate premium push

Hero MotoCorp eyes three new model launches in the premium segment in FY27.

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Hero MotoCorp plans to ramp up its presence in the premium motorcycle segmentHero MotoCorp plans to ramp up its presence in the premium motorcycle segment
Karan Dhar
  • Jun 19, 2026,
  • Updated Jun 19, 2026 3:56 PM IST

India’s biggest two-wheeler maker by volume Hero MotoCorp Ltd plans to ramp up its presence in the premium motorcycle segment by leveraging its partnership with American motorbike giant Harley-Davidson. 

“In the ongoing financial year (FY27), you should see three new model launches in the premium segment,” Hero MotoCorp CEO Harshavardhan Chitale told Business Today in an interview. 

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“Improving premium play is one of our stated objectives. In the analyst call after the fourth quarter results, we reiterated our intent to do so with our Harley-Davidson partnership which we took a few years back,” Chitale said.  In December 2025, Hero MotoCorp launched Harley-Davidson X440 T. 

MUST READ | How Hero MotoCorp plans to keep Honda in the rear-view mirror

“Last year we came up with our first big product launch, the Harley-Davidson X440 T, out of Harley partnership: a product jointly designed and made for the Indian consumer at our Neemrana plant. That model is a 440cc vehicle and then the 350cc GST change happened. Everybody was wondering what would happen. Despite the big price differential created by GST hike on 350cc-plus motorcycles, it has taken off very well. In the quarter ended March 31, 2026, we were short of capacity,” explained Chitale. 

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During the Goods and Services Tax (GST) rate rationalisation in September 2025, the government increased GST on motorcycles with engine capacity of over 350cc from 28% to 40%. However, the GST rate on motorcycles up to 350cc was slashed from 28% to 18%. 

The Hero MotoCorp CEO did not reveal whether the new premium launches will happen in the under 350cc segment. 

Rival Bajaj Auto has re-engineered its entire premium portfolio, including Triumph and KTM to under 350cc segment to take the benefit of the 18% GST slab. 

DON'T MISS | Nothing is better than biofuels for immediate carbon reduction: Hero MotoCorp CEO

On the retail side, the Hero MotoCorp is upgrading its dealerships for premium motorcycles. “There are new dealerships called Premia which offer concierge kind of sales and services. We have activated 130 of these,” said Chitale. 

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The export business, responsible for nearly 6% of Hero MotoCorp’s overall volumes, is another crucial element of the company’s expansion roadmap. 

“We were late to party on exports. We were in a joint venture (with Honda. Our own R&D and portfolio are not very old. Some of the other players had earlier presence in exports. Now, we are rapidly catching up,” said Chitale. 

Hero MotoCorp’s overseas shipments have expanded by nearly 40% each year over the last two years, enabling the company to capture a larger share of global markets and India's two-wheeler export pie. 

“We are in 52 countries. We have a plant in Bangladesh and Columbia,” Chitale said. “You will see us continuing to expand our share in exports. A lot of our growth in exports is driven by our premium portfolio,” he added.   

India’s biggest two-wheeler maker by volume Hero MotoCorp Ltd plans to ramp up its presence in the premium motorcycle segment by leveraging its partnership with American motorbike giant Harley-Davidson. 

“In the ongoing financial year (FY27), you should see three new model launches in the premium segment,” Hero MotoCorp CEO Harshavardhan Chitale told Business Today in an interview. 

Advertisement

“Improving premium play is one of our stated objectives. In the analyst call after the fourth quarter results, we reiterated our intent to do so with our Harley-Davidson partnership which we took a few years back,” Chitale said.  In December 2025, Hero MotoCorp launched Harley-Davidson X440 T. 

MUST READ | How Hero MotoCorp plans to keep Honda in the rear-view mirror

“Last year we came up with our first big product launch, the Harley-Davidson X440 T, out of Harley partnership: a product jointly designed and made for the Indian consumer at our Neemrana plant. That model is a 440cc vehicle and then the 350cc GST change happened. Everybody was wondering what would happen. Despite the big price differential created by GST hike on 350cc-plus motorcycles, it has taken off very well. In the quarter ended March 31, 2026, we were short of capacity,” explained Chitale. 

Advertisement

During the Goods and Services Tax (GST) rate rationalisation in September 2025, the government increased GST on motorcycles with engine capacity of over 350cc from 28% to 40%. However, the GST rate on motorcycles up to 350cc was slashed from 28% to 18%. 

The Hero MotoCorp CEO did not reveal whether the new premium launches will happen in the under 350cc segment. 

Rival Bajaj Auto has re-engineered its entire premium portfolio, including Triumph and KTM to under 350cc segment to take the benefit of the 18% GST slab. 

DON'T MISS | Nothing is better than biofuels for immediate carbon reduction: Hero MotoCorp CEO

On the retail side, the Hero MotoCorp is upgrading its dealerships for premium motorcycles. “There are new dealerships called Premia which offer concierge kind of sales and services. We have activated 130 of these,” said Chitale. 

Advertisement

The export business, responsible for nearly 6% of Hero MotoCorp’s overall volumes, is another crucial element of the company’s expansion roadmap. 

“We were late to party on exports. We were in a joint venture (with Honda. Our own R&D and portfolio are not very old. Some of the other players had earlier presence in exports. Now, we are rapidly catching up,” said Chitale. 

Hero MotoCorp’s overseas shipments have expanded by nearly 40% each year over the last two years, enabling the company to capture a larger share of global markets and India's two-wheeler export pie. 

“We are in 52 countries. We have a plant in Bangladesh and Columbia,” Chitale said. “You will see us continuing to expand our share in exports. A lot of our growth in exports is driven by our premium portfolio,” he added.   

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