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Bajaj’s CNG bet falters as ecosystem gaps widen

Financial Express Pune

|

March 24, 2026

Fuel, range and pricing constraints drag demand for Freedom 125

- NITIN KUMAR & SURENDER NEGI

WHEN BAJAJ AUTO rolled out the Freedom 125, it pitched the motorcycle as a disruptive answer to rising fuel costs in the commuter segment.

For a brief moment, the proposition appeared to resonate. Monthly sales climbed to 12,167 units in November 2024, signalling early traction for what was billed as the world’s first CNG motorcycle.

That momentum has since tapered off sharply. Sales dropped to 1,529 units in February 2026, down 63% year-on-year, even as Bajaj’s overall two-wheeler volumes grew 17% in the same period. From its peak, volumes have fallen 87%, underlining the difficulty of sustaining demand for a new fuel format in a price-sensitive market.

While the Freedom 125 was positioned as a cost-efficient alternative in the 100-125cc category, its cumulative sales of 84,590 units account for just 2% of Bajaj’s total two-wheeler volumes since launch. In comparison, electric vehicles (EVs) have scaled faster, contributing 12% to the company’s volumes, indicating a clear shift in market preference.

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