Royal Enfield known for its famous Bullets will launch two models by early next year and plans to expand its overall production capacity by over 35 per cent by 2010.
The company is evaluating possibilities for launching the two bikes with two different engines, twinspark 350cc and 500cc engine with EFI technology.
The company is also increasing its production capacity to 60,000 units per annum by 2010 from the existing 44,000 bikes a year at its facility in Chennai.
As of now the company has declined to comment if the models would be for the Indian market, for exports or for both and would decide at the time of the launch.