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Austrian automaker KTM has announced a price hike for its 390 Duke and 390 Adventure X. This comes on the back of the decision from Bajaj to stop absorbing the 40 per cent GST rate applied to motorcycles exceeding the 350cc displacement limit. Not only that, but the company is strategically positioning its portfolio to accommodate new, smaller engines that will benefit from a lower tax bracket by shifting this tax burden to the consumer.
The price of the KTM 390 Adventure X has climbed to ₹3.43 lakh, a significant price hike of ₹17,000. It was initially launched at ₹2.91 lakh with the motorcycle witnessing a price hike of approximately ₹52,000 on the back of feature updates and the recent GST tax revision. The adventure bike is expected to cost upwards of ₹4 lakh on-road in some regions of India.
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The KTM 390 Duke saw a significant price hike of ₹40,000, with the new price at ₹3.39 lakh. Bajaj Auto’s decision to pass the tax burden on to consumers has resulted in a steep price hike. In addition to that, the price hike of the bike has opened up a gap of more than ₹1 lakh between the KTM 390 Duke and KTM 250 Duke.
While Bajaj had previously protected buyers from the higher tax slab introduced last year, that temporary subsidy has now ended. This price hike creates a massive gap of over ₹1 lakh between the 390 Duke and its 250cc sibling, effectively clearing a path for a rumoured 350cc variant.
Interestingly, KTM is expected to follow the same route as Triumph by introducing 350cc motorcycles of its own, allowing the brand to capitalise on the lower GST tax rates placed on motorcycles with a displacement of less than 350cc, while continuing to offer its more powerful bikes at a higher price point. Moreover, it would allow the company to increase its product portfolio, providing customers with a broader range of performance levels.
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