Kinetic to start producing electric version of Luna at Ahmednagar plant
Kinetic Engineering (KEL), the makers of the iconic Luna two-wheelers in the seventies, will soon start producing components for an electric version of the moped.
Pune-based Kinetic said in September that Luna would make a comeback in an electric avatar.
The electric Luna, or E-Luna, will be launched by KEL’s sister company Kinetic Green Energy and Power Solutions.
Kinetic Engineering has developed all the major subassemblies for the electric Luna, including the main chassis, stands and swing arm.
It has set up a dedicated production line with an initial capacity of 5,000 sets per month.
The welding for various parts will be done through a new line of more than 30 machines set up in an exclusive shop at its vast factory in Ahmednagar.
To meet the requirements, KEL has also invested over Rs 3 crore in upgrading its paint shop and press and fabrication shops.
“The parts for E-Luna shall add significantly to KEL’s topline at about Rs 30 crore annual estimation, beginning first quarter next year,” said the company in a statement.
Kinetic is commissioning a new plant in Supa, near Pune, to produce more than 25,000 two-wheelers a month.
Its facility in Ahmednagar can produce up to 7,500 two-wheelers a month.
Kinetic Green has made an initial investment of Rs 50 crore in its two-wheeler business and plans to invest more than Rs 400 crore over the next four years.
“We are very proud to be making all the major subassemblies of the same and be a part of this legacy.
“At its peak Luna was selling over 2000 nos (number) per day.
“I am sure it will do very well in its new avatar,” said Ajinkya Firodia, managing director at Kinetic Engineering.
Firodia said Kinetic expected the E-Luna business to add over Rs 30 crore annually over the next 2-3 years as the volumes of the E-Luna increase.
“This will also help KEL to boost its presence in the EV segment.
“KEL is emerging as a one stop shop for all the major mechanical subassemblies for electric two- and three-wheelers, which have witnessed explosive growth over the past 12 months,” he said.
The e-Luna is one of the three e-two-wheeler brands that Kinetic plans to launch, as it seeks a strong comeback in a segment it vacated after its partnership with Mahindra & Mahindra ended in 2014.
The company has been selling a low-speed e-scooter for a year now under the Kinetic Green brand.
Around 50-years ago KEL had launched the Luna, priced at Rs 2000, and at its peak Luna saw sales of 2000 units per day, commanding a 95 percent share of the market in the mopeds category.
The e-two-wheeler segment in India has been growing at a fast pace on the back of government subsidies and high fuel prices.
Nearly 250,000 units were sold in FY22.
It is expected to grow to 700,000 units by the end of FY23.
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