Re: Kawasaki Z800 Launched at 8 Lakhs: xBhp News

Dear Fellow Kawasaki lovers -

Slightly OT, but related to pricing.
Would someone know as to why there is a huge gap in the import price and the ex showroom prices for Kawasaki bikes. From what I understand all of them are imported as CBU, which ideally should be at 110% customs duty. As you can see below, the declared value of z1000 and Versys 1000 is lesser than the z800, but priced exponentially higher in the market. In fact the declared value of zx-10r is temptingly close to that of the z800. What is the funda here? Are there difference in the custom duties based on cc\\\'s or extra taxes being levied?

Z800
Ex Showroom: Rs 8.13L
Declared Import Value: Rs 4L

Z1000
Ex Showroom : Rs 12.87L
Declared Import Value: Rs 3.77L

Versys 1000
Ex Showroom : Rs 13.28L
Declared Import Value: Rs 3.98L

ZX-10R
Ex Showroom: Rs 16.4L
Declared Import Value: Rs 4.84L

Sources:
Ex Showroom: bikewale.com
Import Value : Zauba.com

PS: This is my first post. Huge thanks to the mods for letting me be part of this amazing community. Cheers!

Re: Kawasaki Z800 Launched at 8 Lakhs: xBhp News

The declared import value is less because they are imported as CKD parts and not as whole bike. If the whole bike was imported as it is it would exceed the cost of ex-showroom price and cost us even more. It might be possible that the CKD pricing is less because it is between kawasaki to kawasaki but in different geographies.

Re: Kawasaki Z800 Launched at 8 Lakhs: xBhp News

Z800 is CBU from Thailand while all larger-cc bikes are CBUs from Japan. Due to the India-Thailand FTA duties on Z800 are lower than ~110%, Japan CBUs pay full duties.
Then the prices you see are transfer prices, not retail prices in Thailand/Japan.
Plus Kawasaki pays Bajaj for sales and service of the CKD/SKD lineup (Z250,N300,N650 & Er-6N) so I imagine they are spreading around the costs through the entire range.
Finally: Profits and the need to keep Kawasaki \"premium\"

Re: Kawasaki Z800 Launched at 8 Lakhs: xBhp News


The import prices are based on how much it costs them to make. They dont even sell it overseas at those prices. And they've got to make a profit.

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Did he elaborate about the reason for doing so?

I mean about the difference in character.

Re: Kawasaki Z800 Launched at 8 Lakhs: xBhp News

Well he said he have ridden the N650 much he can. So he upgraded to I-4.

Re: Kawasaki Z800 Launched at 8 Lakhs: xBhp News

Ok there are some mistakes in this post (and they seem to be rather frequent these days..)

1) I was able to find the customs duties levied on CBUs and CKDs from the current rules, link: http://118.67.250.203//Upload/CUSTOMS2012.pdf
A CBU motorcycle attracts 60% duty while a CKD attracts 30% duty. Just spare parts apparently attract 10% (not confirmed)
The rates on CBUs over 800cc were revised in 2013 and hiked to 75%.

2) The India-Thailand free trade agreement does not include motorcycles so all bikes from there attract the aforementioned rate

3) The Z800's price has not decreased as shown in the transfer pricing. A 2014 Z800 and one imported on 4th Feb 2015 are shown below:


4) A transfer pricing of Rs 4,02,727 plus an import duty of 75% on CBU = Rs 7,04,772
Add profits etc. to arrive at ex-showroom price. I think that there was some scope for enabling a reduction of 50K.