Rising prices and export volumes of electric bicycles helped Taiwanese bicycle makers buck downward pressure on their overall exports, Jih Sun Securities Investment Consulting Co (日盛投顧) said last week, citing the latest Taiwan Bicycle Association statistics.
The electric bicycle segment saw average selling prices rise 6.41 percent to US$1,396.12 per bicycle in the first seven months of the year, from US$1,312.02 in the same period last year, the association said on Tuesday on its Web site.
Exports of Taiwan-made electric bicycles increased 44.9 percent to 155,910 units in the period from 107,597 units a year earlier, with the total export value rising 54.19 percent to US$217.67 million from US$141.17 million, the association’s data showed.
Including electric bikes, total shipment volumes of the nation’s bicycles fell 6.4 percent annually to 1.24 million units, while the average selling price of Taiwan-made products increased 24.41 percent to US$637.31 per bicycle, lifting the total bicycle exports to grow 16.44 percent year-on-year to US$789.69 million, the data showed.
“From January to July, Taiwan’s bicycle industry saw overseas sales volume decline, but export value rise, which was mainly because the strong growth momentum in the electric bicycle segment that helped drive the average product prices higher,” Jih Sun researcher Satin Lin (林子楹) said in a note on Tuesday.
“Taiwan’s electric bicycles accounted for about 20 percent of the world’s market,” Lin said.
“As the US-China trade war and the EU’s anti-dumping tariffs on electric bicycles exported from China have limited impact on Taiwanese electric bike makers, major local players are expected to benefit from a steady increase in consumer demand for electric models,” Lin said.
The EU remained the largest market for locally produced electric bicycles in the first seven months. The 28-member bloc ordered 101,029 units, up 23.38 percent year-on-year and accounting for 64.8 percent of the total.
Exports to North American grew 121.32 percent to 35,701 units, the association’s data showed.
“Exports to North America make up about 15 percent of Taiwan’s electric bicycle shipments, but this market has shown a strong growth potential in recent years, with average sales surging from below 500 units per month in 2014 to 5,000 units per month this year,” Lin said.
Export volumes of Taiwan-made electric bicycles are expected to continue growing, but the proportion of original-equipment manufacturing production is to increase as well, she said.
The segment’s sales growth will hinge on volume increases rather than price rises, she said.
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