Bajaj Auto is gearing up for the launch  of the Duke 125 by December this year. The bike which is being  manufactured at Bajaj’s Chakan plant is currently being exported to  other markets. Come December, the bike will be available in India as  well. The 125 cc bike has been developed as a collaboration with  Austrian bike maker, KTM. Bajaj Auto owns almost 36 percent stake in the  Austrian firm and is looking at products including a 200 cc bike for  India.
“Duke is 90 per cent localized. We have exported 1,700-1,800 Duke bikes so far to Austria and some European countries. The set target of supplying the bikes to KTM during the FY12 is 11,000.”
The KTM Duke 125  has a 15 bhp four stroke engine and is solely manufactured for exports  at the moment. Bajaj also plans to export the Pulsar and Discover to  markets in Brazil depending upon the how the customers respond to the  Duke 125. 1700-1800 units of the KTM Duke  bike have been exported to Austria and other European countries untill  now. Bajaj also plans to expand to Brazil which will include setting up  dealerships in the South American country.

KTM Duke Motorcycle at Aut Expo 2010
In addition to expansion plans overseas,  Bajaj is also strengthening its hold over the local market here in  India. Targeting the rural sector is of priority at the moment and hence  the company has brought out the new Boxer which has been tweaked taking  in consideration the needs of the people in rural India. The Boxer will  now have a 150 cc engine and would be completely focused at semi-urban  areas of the country. The new Boxer is expected to be launched by  September this year.
“We plan to launch a modified Boxer bike which is specially designed for semi-urban and rural markets by September this year. The bike with 150cc engine will have its complete focus on rural market. It is a product for Bharat and not for India”
Now, a 200 cc Duke  is also rumoured along with the 125 cc bike. The 200 cc version could  have close to 20 bhp on tap from a four stroke, liquid cooled, DOHC with  four valves. The bike could be priced in the premium end of the segment  above the Pulsar and will rival the Honda CBR250R. Bajaj is also  mulling a powerful version of the Pulsar that will priced in the under  Rs 1.2 lakh bracket thus taking the fight right up Honda’s doorstep.

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