Europe’s Biggest Motorcycle Maker Accused of Selling Illegal Bikes

Europe’s largest motorcycle manufacturer, KTM, is facing allegations of selling off-road bikes that are detuned for road registration before dealers restore their full power after delivery. Undercover investigations by ten major European publications, including Spiegel and Manager Magazin, reveal that models like the KTM 350 EXC-F—originally a 51 hp competition-only bike—are allegedly shipped with just 15 hp to meet road-legal requirements. Dealers then modify the bikes, tweaking software and installing parts to revert them to stock specifications before handing over the keys. One KTM sales rep reportedly admitted to the practice, calling it “a bit of a cheat.” A dealer in Austria warned that the heavily restricted engines can fail after as little as 12 miles (20 km) of use, as they’re not designed for such severe limitations. The derestricted bikes emit over twice the noise and produce carbon monoxide levels comparable to a diesel locomotive, with particulate emissions far exceeding those of a standard car, according to the International Council on Clean Transportation. Insurance companies reportedly refuse coverage for these bikes, as they’re technically illegal for road use, leaving riders vulnerable to legal consequences in the event of an accident. KTM denies wrongdoing, stating that all off-road motorcycles are delivered in road-legal condition and that modifications are made only at the customer’s request. However, reports indicate that many bikes are derestricted by dealers before customers even take delivery.