“What do CFMOTO and KTM have in common?”

Many big changes are happening in the motorcycle world. CFMOTO is a rising Chinese manufacturer known for affordable and quality bikes. KTM, a long-established motorcycle brand, is the leader in Austrian performance. There has long been a rumor that these two are in a partnership and that some KTMs are reaching the European market from China. Is there any truth to this? What really connects these two?

By now, every motorcyclist probably knows that CFMOTO also produces motorcycles. The idea of creating motorcycles by CFMOTO, mostly known in the ATV world, emerged in 2008 and was realized in 2011 with the first 650 cubic centimeter engine.

Marek Kärner, the owner of Motohobi and the Estonian importer of CFMOTO, told us that at that time, KTM had the idea of entering the Asian market. “However, if you want to sell a machine produced in Europe there, the principle of internal market protection applies, and an entrant from an external market is taxed with an additional 40% customs duty, which would make the final price of the product too expensive,” he explained the background.

A little over ten years ago, KTM found a cooperation partner in China in CFMOTO. The idea was that KTM would send parts from Europe to China, where they would be assembled by CFMOTO and sold on the Asian market.

According to Kärner, seven years ago, KTM and CFMOTO joined forces and created a joint venture in China called KTMR2R, where 51% of the company belongs to CFMOTO, which finally allowed KTM to market their motorcycles in China. In 2020-2021, a new production complex was also opened in addition to the existing one.

All motorcycles for the Asian market are produced in the joint venture, but the CFMOTO factory also produces KTM 790 Adventure and 790 Duke models for the European market. KTM’s 800 cubic centimeter engine was on the Euro 4 platform, which CFMOTO upgraded to Euro 5 because KTM itself did not want to undertake such an expensive venture and allowed CFMOTO to use it for themselves. According to Kärner, KTM later changed its mind, decided they also needed this engine and bought the rights back. According to Kärner, there is a small agreed difference in these engines: the CFMOTO 800MT model has 67 kilowatts, but the KTM 790 Adventure has 70 kilowatts. “The engine body is exactly the same, but the power difference is due to technical and software differences in the fuel system, but these engines actually come off the same production line,” said Kärner, who has seen this with his own eyes in the factory.

While filming was prohibited on KTM’s side, CFMOTO’s side generously allowed guests to film everything to showcase how high-level everything is there—clean, shiny, and staffed by a high-level workforce.

Thus, what connects KTM and CFMOTO is joint production and a shared engine that can be found on both motorcycles. CFMOTO gained access to KTM’s technology and engineering expertise, while KTM took advantage of CFMOTO’s efficient production and access to the rapidly growing Chinese market.

Joint Venture: In 2017, CFMOTO and KTM established a joint venture in China, with CFMOTO holding 51% and KTM holding 49% ownership.

Production Cooperation: The joint venture includes a new production unit in China that produces motorcycles for both KTM and CFMOTO.

Technology Sharing: KTM has shared part of its engine technology and design knowledge with CFMOTO, enhancing the Chinese brand’s technical capabilities.

Market Access: The partnership allows KTM to expand its presence in the Chinese market while CFMOTO gains access to KTM’s advanced technology and global distribution network.

Product Development: Both companies collaborate on developing new models, combining KTM’s technical expertise and CFMOTO’s production efficiency.

Several products that demonstrate the potential of the CFMOTO and KTM partnership have already emerged from this collaboration:

CFMOTO 800MT: This adventure motorcycle uses a 799cc twin-parallel engine derived from KTM. It offers KTM-level performance in a more affordable package, although the price difference for the top model is essentially nonexistent.

CFMOTO 1250TR-G: A touring motorcycle with a KTM LC8 V-twin engine, demonstrating CFMOTO’s ability to produce larger and more luxurious motorcycles. This is an escort and police motorcycle intended for the Asian domestic market, and this model is not expected in the European market.

KTM 200 Duke and 390 Duke for the Chinese Market: These popular KTM models are now produced in China through a joint venture, making them more accessible to Chinese consumers.

The Estonian importer revealed that next year will bring new CF675SR and NK models, as well as the long-awaited CF125NK. Also, the CF800MT-X adventure motorcycle will hit the market.

The partnership between CFMOTO and KTM represents a new era in the motorcycle industry, where collaboration between established players and ambitious newcomers can lead to exciting innovations. For consumers, this partnership means access to high-quality motorcycles in various price ranges. New and interesting news on how CFMOTO plans to shake up the motorcycle world will likely come out during the EICMA motorcycle show in Italy this late autumn.