CHONGQING, China - If you thought there were fewer Chinese imports on the market, you may be right. The Chinese motorcycle industry reportedly has entered a period of market decline after several years of growth.
The industry has been caught between internal and external factors. More than 200 cities have placed bans on motorcycles and/or instituted stricter emission control standards. Chinese manufacturers also face new competition in overseas markets for electric motorcycles and scooters.
According to the China Association of Automobile Manufacturers, 2011 overseas sales accounted for 10.74 million units, or 40 percent of industry sales. Export sales reported for first quarter 2012 are down approximately 230,000 units (about 4.8 percent) from the previous year.
China Motorcycle Magazine attributes the loss to a variety of circumstances. The price advantage formerly held by Chinese products is eroding as production costs and the value of the Yuan rise. This, coupled with the emergence of domestically manufactured products in the former export client countries of Vietnam and Brazil, has taken a toll on China’s ability to market small-displacement motorcycles, scooters and no-peds in markets.
“Small displacement, low additional value and limited markets, Chinese motorcycle export has reached an end,” said Mr. An Zineng, secretary-general of the China Industrial Product Brand Promotion Committee, at a recent industry conference in Chonqing.
Posted by Mike Vaughan