KTM Halts Production In Austria, Again!

KTM is back to square one as the brand has halted production at its Mattighofen plant in Austria yet again. There’s no clarity on which all bikes it started its production with after coming back from bankruptcy. The brand did clarify that it has already built 4,200 bikes, after which it has run out of “essential components” to manufacture and therefore will now suspend production till July 27.  

Reports further state that KTM has not been able to source critical components that are required to make its bike. This is primarily because it has not been able to pay off its vendors due to which no new orders could be placed. 

(Also Read: Bajaj Comes To KTM’s Rescue, Lends ₹455.55 Crore To Recommence Production From Mid-March)

However, on the other hand, KTM also clarified to its workers that it is drafting a new work policy which will apply from July 1 onwards. This would include a 30-hour work week schedule for its 3,000 workers at Mattighofen, so not all hopes are not lost yet. 

KTM’s financial woes have taken quite the toll on the brand’s production lines for obvious reasons. While its Indian-arm continues to belt out the newly launched 390 Adventure alongside the updated 390 Duke with cruise control steadily, its main office has not been active as much. Due to which, it ended up with a massive stockpile of 2,65,000 bikes, just sitting on its factory floor. It was this stagnation that made KTM bring some of its big bikes to India, including the latest 1390 Super Duke, and the 2024 KTM 1290 Super Adventure R. But given the current financial condition, KTM is still a few months away from getting up and running fully. It still has several debts pay off, and paying off its vendor is a priority now.