According to Alessandro Verlicchi, MD - Verlicchi Group, India produces only seven million two-wheelers per year (as compared to China, which makes 25 million per year!), so it still has a lot of scope for expansion and growth.

The Verlicchi Group specialises in manufacturing two-wheeler chassis and the new JV company will start production in November this year, with a capacity of 300,000 chassis per annum. Apart from chassis, the company will also make exhaust systems, suspension components, fuel tanks and various other parts for two-wheelers.

Apart from selling its products in India, Verlicchi-Hema Automotive will also exports motorcycle chassis to American and European markets, by 2011. Verlicchi's global customers include companies like BMW, Harley Davidson, Ducati and Honda.