The decision for Triumph to plan the new Bonneville 350, as part of a larger push into the sub-400cc market, is driven by several strategic and market factors, particularly in India:
- Taxation Advantage in India: The primary catalyst is the Goods and Services Tax (GST) structure in India.1 Motorcycles with engine capacities under 350cc enjoy a significantly lower tax rate (18%) compared to those over 350cc (which attract a much higher rate, recently reported to be around 40% for the over-350cc category).2 By launching a 350cc version, Triumph can price the bike far more competitively.
- Rivaling the Segment Leader: The sub-350cc classic motorcycle segment is hugely popular, especially in India, and is dominated by the Royal Enfield Classic 350.3 The Bonneville 350 is specifically aimed at directly challenging this dominance by offering a premium, heritage-rich alternative at a competitive price point.4
- Expansion of Entry-Level Portfolio: This new model is an extension of Triumph’s strategy, in partnership with Bajaj Auto, to create a range of affordable, single-cylinder motorcycles (like the Speed 400 and Scrambler 400 X) that serve as an accessible entry point to the iconic Triumph brand globally, and especially in high-volume emerging markets like India.
- Engine Strategy: The new 350cc engine is expected to be a modified version of the existing 398cc single-cylinder engine (used in the 400 series), achieved by reducing the bore size.5 This engineering change would not only meet the tax bracket requirements but is also expected to be tuned for better low- and mid-range torque, which is ideal for city riding and relaxed cruising, fitting the “Bonneville” classic character.
In essence, the Bonneville 350 is a calculated move to enter a highly profitable market segment, leveraging tax benefits and the brand’s classic appeal to directly compete with established rivals.
For the primary reason (GST change and competition):
- Team-BHP:
https://www.team-bhp.com/forum/motorbikes/299845-rumour-triumph-bonneville-350-works-india.html - BikeWale:
https://www.bikewale.com/news/exclusive-triumph-bonneville-350-in-works-launch-soon/ - BikeAdvice:
https://bikeadvice.in/new-triumph-bonneville-with-350cc-engine-in-works-details/
For the broader context of the 350cc platform (downsizing from 400cc due to GST):
- BikeWale:
https://www.bikewale.com/news/triumph-to-launch-350cc-motorcycles-soon/ - NDTV:
https://www.ndtv.com/auto/gst-council-meeting-bikes-above-350cc-to-attract-40-gst-9217946
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