Hyosung Hits India

Korean Manufacturer Will Focus on the 650-700cc Segment

MUMBAI, INDIA -October 27, 2010. Hyosung by S&T; Motors, Korea’s major manufacturer for motorcycles, scooters, and ATVs, has announced its intent to produce machines for the Indian market by confirming a strategic alliance with Garware Group. With the revival of Garware Motors - a firm based in India - the idea is to assemble the Korean manufacturer's motorcycles in the 650-700cc segment for Indian market. The initial investment was set at Rs 20 Crore. The production facility will be based in Wai, India, with a goal of 2,000 units (sales) for the first year of operation; Garware Motors and S&T; Motors expect production Hyosung motorcycles to roll out by the first quarter of 2011. The following is a list of past and ongoing goals for Hyosung in this market:

1. Announced partnership between S&T; Motors and Garware Motors in India.

2. Launched Garware Motors Limited, a wholly owned subsidiary of Garware Bestretch Ltd. in India.

3. Sets up assembly line in Wai, India and plans to sell 2,000 units in the first year of operation and increase it to 5,000 in the third year.

4. Focuses on the 650-700cc segments.