The FXE, an electric motorcycle from Zero Motorcycles deemed perfect for the Asian market because of its size and price, may be one of the models to be assembled in the Philippines.
Photo courtesy of Zero Motorcycles
California’s Zero Motorcycles will soon be assembled in the Philippines.
The Santa Cruz, CA-based designer and producer of electric motorcycles and electric powertrains has inked a deal with Integrated Micro-Electronics Inc. (IMI), an electronics manufacturing services company in Sta. Rosa, Laguna, Philippines, some 60 kilometers away from the capital, Manila.
As part of this new collaboration, IMI will begin to assemble Zero Motorcycles‘ electric motorcycle models and other motorcycle sub-assemblies in their facility located in Laguna, Philippines, within this year. The actual timing has not yet been set by sources at AC Industrials said the target is the 3rd quarter of 2023.
IMI will run its assembly in parallel to Zero’s facilities in the Scotts Valley, California. This means partial and modular assembly of components and parts as well full assembly of motorcycles which will be then sold locally, or sent to Zero’s customers and dealers globally with a primary focus on the European and Asian markets.
“This collaboration will be transformational for Zero Motorcycles’ operations. Expanding our manufacturing footprint into a new region allows Zero Motorcycles to efficiently scale up to meet the rapidly growing demand for our products and improve customer delivery and satisfaction in the fast-growing EV market,” Zero Motorcycles CEO, Sam Paschel said in a statement.
Of all the potential partners considered, only IMI possessed the expertise in both electronics manufacturing and motorcycle assembly all located under one roof. Important to Zero Motorcycles is the fact that Ayala Corp. and its allied companies are deep into sustainability, and the collaboration with Zero is expected to open more possible synergies with AC Industrials in the future.
“IMI is excited to partner with Zero Motorcycles and help bring their innovative electric motorcycles to the world. This collaboration aligns with our commitment to supporting companies in their growth and sustainability efforts while providing high-quality manufacturing services,” AC Industrials CEO, Arthur R. Tan said.
Entrance to the KAMMI factory in Laguna Photo by AC Industrials
IMI is part of the Ayala Corp., AC Industrials, which in turn runs the KTM Asia Motorcycle Manufacturing, Inc. (KAMMI). This gives the company experience in assembling motorcycles. Recently it started building KTM engines. In 2021, the company started production for the Husqvarna line of adventure bikes.
Since it started operations, KAMMI has built over 30,000 motorcycles at its factory at the Laguna Technopark Inc. (LTI) at Sta. Rosa, Laguna. Last year, it built over 13,000 motorcycles, of which 80% was exported to China and other ASEAN countries.
IMI is under the Ayala Group of Corporations in the Philippines, the biggest corporate entity in the country currently with interests in automobiles, motorcycles, telecommunications, renewable energy, power, banking and finance, real estate, sustainability as well as the health and medical fields.
Mass production is projected to start as early as the second quarter of 2023 as a turnkey program utilizing IMI’s current capability for assembling motorcycles coupled with efforts to develop localization of certain components and parts.
“We are thrilled to partner with IMI and bring their expertise in electronics manufacturing and motorcycle assembly to the Zero Motorcycles lineup of products,” Paschel concluded.
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