Hero targets production of 6.5 million units in FY24

Hero MotoCorp, the world's largest two-wheeler manufacturer, is aiming to produce over 6.5 million units in the ongoing financial year (2023-2024), on the back of a healthy wedding season and the approaching festive season. This is the highest manufacturing target set by the company in the last four years.

"As the world’s largest two-wheeler manufacturer, we have long-term plans for establishing our presence in new markets and growing our share in existing ones," Hero MotoCorp said in its latest Annual Report. "We intend to make our ICE and EV products even more value-focused. We expect healthy growth and are targeting production of over 6.5 million two-wheelers in FY 2023-24 for domestic and export purposes." Although the company is aiming to surpass the pre-COVID production level of 6.4 million units from FY20, it is still short of its all-time high production volume of 7.8 million units achieved in FY19.

Additionally, the company has set a target of achieving 30 percent of its sales on digital platforms and a 30 percent female workforce by 2030. Notably, Hero MotoCorp sold 54 lakh units of motorcycles and scooters in the last fiscal year.

“We have invested significantly in upgrading our Information Technology systems, adopting advanced analytics and Artificial Intelligence (AI) tools, and in implementing cutting-edge automation technologies. We have set an ambitious goal of achieving 30 percent of our sales through digital channels by the year 2030,” they said in their report. Hero is also working towards transitioning its existing authorised dealer networks to 100 percent green dealerships by the end of the decade.

For expansion of its global reach beyond the current 47 countries, the two-wheeler major has launched ‘Project Gold’, aimed at developing two-wheelers tailored to usage conditions in specific countries. Under this project, the company aims to launch a total of 16 models, which will be a combination of new products and refreshes.

“Hero's 'Project Gold' initiative involves developing two wheelers designed for the unique usage patterns and conditions of different countries. Through comprehensive testing, Hero aims to create products that cater to local needs, which offer performance, durability and reliability,” the company said.