KYMCO Ships 450cc Enduro Bike Engines to BMW

Taipei, July 3, 2008 (CENS)--Kwang Yang Motor Co., Ltd. (KYMCO), the largest powered two-wheeler (PTW) manufacturer in Taiwan, recently confirmed that it had begun shipping the first batch of 450cc engines contract manufactured for BMW's G450X enduro bike.

Ko Chun-ping, executive vice president, pointed that KYMCO is the first contract maker of motorcycle engines for BMW, confirming his company's world-class technical and quality standards.

With rapidly increasing export orders, most of KYMCO's production plants worldwide are running at full capacity, with the maker expected to produce and sell over one million PTWs this year.

The new BMW G450X is its first model exclusively developed for enduro riding, the most demanding race in the world. BMW debuted the G450X at the 65th International Bicycle and Motorcycle Exhibition in Milan, Italy (EICMA 2007) and announced that the engine would be contract supplied by KYMCO to BMW's stringent quality standard and product specifications.

Ko refused to comment on the order volume and unit price of the BMW engine, but disclosed that BMW and KYMCO started the cooperation project two years ago, with the German partner sending over 10 engineers to help KYMCO set up a new production line and improve production processes. Six German engineers still remain with KYMCO to assure the quality fully meet BMW's requirements.

To meet BMW requirements, KYMCO organized a technical team of 30 experienced technicians, procured brand-new top-end equipment including computer numeric control (CNC) lathes and x-ray inspection instrument etc. But Ko said that KYMCO has truly profited from more than contract making the engine, but has learned valuable lessons the German engineer team, specifically the pursuit of precision, quality and latest engine development technologies.

The executive VP says the really valuable benefit from the engine contract is stating that KYMCO's manufacturing capability has reached world-class. "These invisible assets we gained from the partnership with BMW are expected to effectively upgrade KYMCO's product quality, product added-values, and brand image," Ko claimed.