Rajiv Bajaj shares 2026 game plan as Pulsar turns 25

Bajaj Auto Managing Director Rajiv Bajaj is gearing up for a defining year as the company prepares a refreshed strategy for 2026, anchored by a major overhaul of the Pulsar portfolio as it enters its 25th year.Speaking to CNBC-TV18 on the channel’s 26th anniversary, Bajaj also looked back on his two-decade association with the network, recalling how his first major business interview coincided with the original Pulsar launch in 2001.

In the interview, Bajaj discussed the company’s push to strengthen its position in the domestic motorcycle market, ongoing momentum in the KTM business, and how global cost competitiveness continues to support exports even in a high-tariff environment.

He also commented on the GST hike on bigger bikes, warning that the move could shrink the premium segment, though he said Bajaj Auto’s long-term product and investment plans remain intact.These are edited excerpts of the interview.

Q: CNBC-TV18 completes 26 years today. Can you share your perspective on your association with the channel and the role it has played in covering the automobile industry and its key milestones in India?

A: First and foremost, congratulations to all of you. I must tell you that my first most significant business interview was on CNBC almost 24 years ago. It was 2001. It was on the occasion of the launch of the Pulsar. So whether it’s India, whether it’s Bajaj, or whether it’s me, the association goes back almost to the beginning of CNBC. And I can tell you, from my experience, I like to call it the ABCD of CNBC, A for authentic, B for balanced, C for compelling, and D for delightful. Authentic because you are probably the only channel that that doesn’t – this nonsense about source-based information, everything is so credible.

Balance, because there is always both points of view to put before your viewers. Compelling because, it is said, discipline is repeating the boring brilliantly. So sometimes it may appear to you internally that what you do is getting boring, but to us on the outside it seems brilliant, because it is so finely honed, and finally, delightful, because there is always a X factor in what you do. From Young Turks to Future Female Forward and everything in between, it’s a delight to watch CNBC so I have had a great 24 years with you.

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Q: Coming back to the two-wheeler business — with the acquisition of KTM now complete and approved, how do you plan to scale up in India and global markets?


A: First, let us take India. In India, as you may have, as you may be aware, for the last couple of months, with KTM, we have pretty strong tailwinds, primarily due to the launch of new products, from the new Adventure to the Supermoto, most recently, the Duke 160 etc., as a result of which we have been now experiencing our highest ever retails in India. Also, from India in terms of exports, the new products are helping us to move to the next level in terms of KTM volumes. And in fact, in that context, I must share with you that even in terms of exports to the US, which are not insignificant, we export about 10,000 KTM motorcycles every year to the US.

Let me share with you something very interesting, that when confronted with the 50% tariff, Bajaj reduce the FOB price  out of India to absorb most of this 50% impact, and yet we are able to export at EBITDA that is greater than our 20% corporate EBITDA. So this is not about the power of KTM or the power of Bajaj. This is about the power of India. It is so cost competitive to manufacture out of here that really more of us should be taking this strength out to other markets. So that’s about KTM in India.

As far as KTM globally is concerned, I said to you when we spoke the last time that at the heart of the turnaround globally is going to be the concept of less being more. Less in operational terms, in the sense that KTM was brought down by this 12 month plus inventory that had piled up in its network. So, I am happy to say that retails are on course that inventory is more or less depleted now, will be at the end of the year, and even strategically, it is about resetting the brand. Less is more, get rid of the bicycle business, the car business, the smaller brands like and just focus on KTM, Husqvarna going forward. So with this less is more approach, I feel quite confident that we are on the right path for the medium term.

Q: How do you plan to increase your market share in ICE two-wheeler segment in India? What’s going to be the game plan for 2026?

A: When it comes to ICE two-wheelers, in India predicts, basically it’s about motorcycles for us, because we don’t make ICE scooters. Within that our focus has always been on the 125cc plus space. And as Rakesh shared with your colleagues, whatever we are doing now in product and marketing terms, is already yielding results between August and November. Our share, as we calculated in the 125cc plus segment, has grown by 2% already. I just told you that 2001 was the launch year of the Pulsar so next year is the 25th year of the Pulsar, and you will see that it will be the year of the Pulsar.

Already, as we speak, we are rolling out the first wave of new products, which will be reaching dealerships very soon. And you will see wave after wave of new stuff coming out of the Pulsar platforms, all through 2026 and since in the domestic market, Pulsar is like two thirds of our volume. If the new Pulsars do well, then this is going to be the primary basis for share gain in the domestic market.

Q: Any investments in bikes over 350cc, considering that the government has hiked the GST there?

A: I would like to start by saying that I certainly hope the government will reconsider what it’s done, and without dwelling on it too much, clearly, this action is going to marginalise motorcycles above 350cc in this market. And if that happens, then, it greatly handicaps the manufacturers from developing such motorcycles and taking them out to the world. I sincerely hope this will be reviewed.

Meanwhile, our plans continue unchanged for now predicts, because I don’t know how many people are aware that when it comes to, you know, and we measure it as 250cc plus, not just 350cc plus, in the 250cc plus segment between us, like Pulsar, Dominar, KTM and Triumph, we are neck-neck with Royal Enfield in terms of export leadership. So, with four brands across 108 countries, there is no reason for us to kind of put our plans on the back burner because of a domestic adversity. But as I said, I hope that that will be relooked at. So, for now, in terms of both development and investment, our plans remain unchanged.

For the entire discussion, watch the accompanying video