KTM Opens Manaus Plant with Annual Capacity of 20,000 Motorcycles

KTM do Brasil has inaugurated a motorcycle manufacturing plant in Manaus, in Brazil’s Amazonas state, with an installed annual capacity of 20,000 units. The facility, which began operations ahead of its inauguration on October 14, will initially employ 100 people directly and indirectly.

The company expects to produce 3,500 motorcycles by the end of 2026, with plans to increase output in 2027. The plant will manufacture ten models under the KTM and Husqvarna brands, covering the motocross, enduro and adventure segments.

The facility has received an investment of around R$ 20 million in infrastructure and equipment. It operates on a completely knocked-down (CKD) basis, with activities including kit preparation, engine and motorcycle assembly, quality control, packing and shipping.

The new plant marks a shift from KTM’s earlier manufacturing arrangement in Brazil. The company began assembling motorcycles in Manaus in 2016 through a partnership with Dafra Motos. The new facility establishes an independent production operation dedicated to KTM and Husqvarna.

Speaking at the inauguration, Rakesh Sharma, joint managing director of Bajaj Auto, said Brazil was an important market for both Bajaj and KTM. He added that the new facility would bring the companies’ complementary capabilities together to serve the Brazilian motorcycle market.

Fabian Steinbacher, vice-president of operations at KTM AG, said the Manaus plant would follow the same processes, quality standards and technical requirements as the company’s operations in Austria.

Petra Preining, CFO of Bajaj Mobility AG and KTM AG, said the facility was designed to expand its capacity and product portfolio in line with market demand. She also cited local value creation, cost efficiency and flexible production as priorities for the operation.

Ten models planned for local production

The motocross range will include the KTM 250 SX-F and KTM 450 SX-F. The enduro line-up will comprise the KTM 250 EXC-F, 350 EXC-F 6DAYS, 300 EXC and 300 EXC 6DAYS, along with the Husqvarna FE 350 and TE 300 PRO.

The plant will also produce the KTM 390 Adventure R and 390 Adventure X, which were introduced in Brazil in August and are scheduled to reach dealerships in October. Their suggested retail prices are R$ 37,990 and R$ 33,990, respectively.

KTM and Husqvarna currently have an authorised dealer network of 12 locations in Brazil. The company aims to expand this to 30 outlets by 2027.

The Manaus facility forms part of the reorganisation of KTM and Husqvarna’s operations in Brazil, bringing manufacturing and commercial activities closer together as the brands plan to expand their presence in the market.