After a rocky few months that cast serious doubts over its future, KTM AG has officially resumed full production at its key manufacturing sites in Mattighofen and Munderfing, Austria. The announcement signals a turning point for the motorcycle giant following a period of financial strain and uncertainty that saw the company on the brink of receivership.
Back from the Brink
Earlier this year, KTM faced a series of financial and operational challenges that disrupted global supply, halted production, and placed immense pressure on its workforce and dealer network. Mounting inventory, declining margins, and logistical bottlenecks across Europe forced the company to drastically slow output — a move that sent ripples through the industry and left fans wondering whether KTM, Husqvarna, and GASGAS would rebound at all in 2025.
However, through what KTM calls an “intensive planning and preparation phase,” the company has stabilised. Backed by renewed financial structure and a surge in international demand, KTM AG has managed to avoid receivership and restart operations with a clear strategy and fresh focus.
“We owe this to our employees,” said CEO Gottfried Neumeister. “Their commitment and resilience throughout this difficult phase have been vital. Thanks to their flexibility and team spirit, we’re now in a position to move forward at full throttle.”
Production Fully Resumed
As of July 28, all four production lines at KTM’s Austrian facilities are up and running again, with around 1,000 employees returning to full-time work. The restart marks the end of a scaled-down operating model that had been in place during the company’s restructuring efforts. Notably, KTM will forego its traditional summer break this year to maintain uninterrupted output through to the annual Christmas shutdown.
Supply chains have also been reactivated globally, enabling the company to resume reliable delivery of motorcycles across its three brands: KTM, Husqvarna, and GASGAS.
New Focus: Off-Road & LC4 Models
While KTM builds back, it’s doing so with intent — narrowing its production lens onto off-road and LC4 platform bikes that have consistently resonated with global riders. Production will initially prioritise the MX and Enduro Competition ranges, which continue to be staples in off-road racing and recreational markets alike.
In parallel, KTM is firing up production on the updated LC4 platform, including fan favourites such as the KTM 690 ENDURO R and 690 SMC R, as well as Husqvarna’s 701 Enduro and 701 Supermoto.
“The restart is not just operational—it’s deeply emotional,” said Jakob Kohlmayer, Senior VP of Production. “It’s a fresh chapter driven by passion, performance, and a focus on the models that best reflect who we are.”
Dealer & Recruitment Push
To help stabilise its market presence and bolster customer satisfaction, KTM is also reinforcing its dealer network through its new Dealer Excellence Centre. This initiative aims to streamline global support and improve engagement with KTM’s international retail and service partners.
At the same time, the company is ramping up hiring efforts, particularly in IT, finance, and marketing roles at its Mattighofen and Munderfing sites. KTM is offering an international work environment, along with relocation support, in an effort to attract top-tier talent during its rebuilding phase.
The Road Ahead
It’s no secret that KTM’s return to form will be watched closely by the global motorcycle industry. For a brand so deeply entrenched in off-road racing, Dakar dominance, and aggressive street performance, a falter of this scale is rare—but so too is a recovery of this clarity.
Now back in full production and concentrating on what it does best, KTM appears ready to regain momentum. Riders worldwide can expect to see new-generation enduros and LC4 machines hitting showrooms soon — a welcome sign that Austria’s orange powerhouse is far from done.
