Motorcycle industry in China – a detailed introduction

Motorcycle is a means of transportation, which has been widely used in people’s daily life. This article will give you a detailed overview of the motorcycle industry and help you know more about motorcycles.

Motorcycle industry definition and classification

A motorcycle is a means of transportation. It is a two-wheeled or three-wheeled vehicle driven by a gasoline engine and steered by handlebars. Motorcycles are light, flexible, fast, widely used in patrol, passenger and cargo transportation, and also used as sports equipment.

According to the speed and displacement (power), it can be divided into mopeds and motorcycles; According to the model, it can be divided into scooter, cub and straddle; According to the structure, it can be divided into two-wheeled motorcycle, regular three-wheeled motorcycle and side three-wheeled motorcycle, etc. According to the direction of use, it can be divided into street motorcycle, road racing motorcycle, off-road motorcycle, cruise motorcycle, station wagon and so on.

Motorcycle industry chain

The upstream of the motorcycle industry chain is mainly raw materials, parts and accessories, among which raw materials are mainly steel, aluminum, etc., parts and accessories are mainly internal combustion engine, engine, instrument panel, body frame, tires, bearings, gears, etc.; Midstream for all kinds of motorcycle vehicle manufacturing;Downstream is mainly government agencies, individual consumers and exports of this kind of motorcycle consumption market.

Upstream market

Raw materials

● Steel
With the continuous development of China’s iron and steel industry in recent years, China’s steel output is also increasing, providing sufficient raw materials for the development of the motorcycle industry. According to the data from the National Bureau of Statistics of China, from 2011 to 2021, China’s steel production showed a fluctuating and increasing trend. In 2021, China produced 1336.668 million tons of steel, reaching a peak in recent years.

● Aluminum
Aluminum made by aluminum and other alloying elements. In recent years, China’s aluminum production shows a fluctuating trend. In 2021, China’s aluminum production reached 61.052 million tons, up 7.4 percent year on year. In the January-November period of 2022, China’s aluminum output was 56.562 million tons, down 1.1% year-on-year.

Spare parts and accessories

● Tyre
Tires are ground rolling circular elastic rubber products assembled on a variety of vehicles or machinery. Usually mounted on metal rims, tires can support the body, buffer external impact, achieve contact with the road and ensure vehicle performance.

In 2022, due to the impact of the epidemic, a large number of motorcycle manufacturers are in a state of suspension and production, and the demand for tires in supporting links is hit. At the same time, the operating rate of tire manufacturers continues to fall, and the overall production of Chinese tires shows a shrinking trend. According to the National Bureau of Statistics of China, by the end of December 2022, the output of rubber tires in China was 856,0030 million, down 5 percent year on year.
● Engine
In recent years, China’s engine output has remained basically stable. Data showed that China’s engine output in 2021 was 268.0665 million kW, up 2.1 percent year-on-year. As of September 2022, China’s engine output was 170,700.6 million kW.

Midstream market

After years of decline, China’s motorcycle industry is recovering strongly in 2022, with double growth in market production and sales. However, the current situation of China’s motorcycle industry is still complex and severe (the global macro situation is complex and changeable, and the price of raw materials is high).

Data show that the output of motorcycles in China in 2022 was 21.22 million, an increase of 5.43% compared with the previous year; Sales were 21.42 million units, up 6.07% from the previous year.

At present, motorcycle industry in China is mainly dominated by two-wheeled motorcycles and fuel motorcycles. Statistics show that in 2022, the production and sales of China’s second wheel motorcycle were 19.0111 million and 19.1316 million respectively; The production and sales of three-wheeled motorcycles were 2.2811 million and 2.2884 million, respectively. The production and sales of fuel motorcycle were 13.6815 million and 13.7873 million, respectively. The production and sales of electric motorcycles were 7,610,700 and 7,632,700, respectively.

From the model details, the two – wheeled motorcycle is divided into straddle bike, scooter and bending beam car. Data show that the production and sales volume of straddling bikes in China in 2022 are 7.5065 million and 7.677 million, respectively, down 17.7% and 15.84% year-on-year. The production and sales of scooters were 9,932,400 and 9,987,800, down 13.53% and 13.07% year-on-year; The production and sales of beam bending cars were 1.4574 million and 1.460700 million, down 36.04% and 35.85% year-on-year.

In terms of displacement, 125 series and 150 series motorcycles are preferred by consumers. Data show that in 2022, the production and sales volume of 50 series were 544,600 and 583,700, respectively, down 33.82% and 28.41% year-on-year. The production and sales of 110 series were 1.469,700 and 1.520,600, respectively, down 30.62% and 27.83% year-on-year.

The production and sales of 125 series were 4.903,700 and 4.936,100, respectively, down 14.35% and 14.02% year on year. The production and sales volume of 150 series were 3,005,600 and 3,014,200, respectively, down 17.95% and 17.69% year-on-year. The production and sales of the 250 series were 1.339 million and 1.3529 million, respectively, down 3.91 percent and 2.96 percent year-on-year. The production and sales of motorcycles with large displacement above 250cc (excluding 250cc) were 551,100 and 553,400, respectively, up 47.51% and 44.68% year-on-year.

Generally speaking, the motorcycle below 150cc is small displacement, 200 to 400cc is medium displacement motorcycle, 500cc above is large displacement motorcycle. As the larger the displacement, the higher the requirements for cycling technology, the novice generally starts from 250-400cc, and the proportion of replacement to the advanced displacement segment (400-750cc) within 2 years is higher

Downstream market

In 2022, the production and operation of some manufacturers have been affected to some extent by the continuous weakening of international demand and the concurrent impact of the epidemic. The quantity and amount of China’s motorcycle industry export are lower than last year, but still at a historical high level compared with previous years.

According to China Customs data, China’s motorcycle export volume in 2022 was 26.48 million units, down 24.36% from the previous year; Motorcycle exports amounted to $11.958 billion, down 2.92 percent from the previous year.

At present, 125 series, 150 series, 110 series, 250 series and 50 series are the top five series of motorcycle export in China. Data show that China’s 125-series motorcycle export volume in 2022 was 264.98, down 12.07% from the previous year; The export volume of 150 series motorcycles was 1,952,600, down 15.32% from the previous year; 110 series motorcycle exports 1.06656 million, down 24.71%; 250 series motorcycle exports 894,500, an increase of 0.27% compared with last year; The export volume of 50 series motorcycles was 322,800 units, down 37.6 percent from the previous year.

Motorcycle industry competition

Although the research and development technology of Chinese motorcycles has been improving in recent years, and the popularity of international brands has also been increasing, the motorcycle brands produced in China are mainly concentrated in the field of middle and low-end motorcycles, and the motorcycle industry competition is relatively fierce, and there is still a gap between them and international brands. You can find more information about manufacturers in motorcycle industry from reading top 10 electric motorcycle manufacturers in the world.

At present, China’s motorcycle market is mainly divided into three echelons. The first tier: Yadea, Dachangjiang, Zongshen, LONCIN; The second tier: Sundiro Honda, Zhejiang Luyuan, Dongguan Tailg, Wuyang-Honda, Luoyang Northern, Chongqing D-CHAMWIN , Guangzhou Dayun; The third tier: Jiangsu Xinri, TAYO, Lifan, Qianjiang, Huaihai,Bus New Energy, Jincui, Lovol, etc.But as a whole, China’s motorcycle industry presents a “super multi strong” situation.

From the fuel motorcycle point of view, there are many manufacturers, the motorcycle industry is more dispersed, the market concentration is low. Data show that in 2022, major manufacturers in China’s fuel motorcycle sales are Dachangjiang, LONCIN, Sundiro Honda, Zongshen, Wuyang-Honda, Luoyang Northern, Chongqing D-CHAMWIN, Guangzhou Dayun, TAYO, Lifan, and others accounting for 14%, 9%, 7%, 6%, 5%, 4%, 4%, 4%, 3%, 3% respectively.

From the point of view of electric motorcycle, China’s electric motorcycle industry has a high market concentration. Data show that in 2022, Yadea, Zhejiang Luyuan, Dongguan Tailg, Jiangsu Xinri, Zongshen, Huaihai, Bus New Energy, others will be the top ten manufacturers in China’s electric motorcycle sales; Yadea Technology Group has 61 percent of the market, followed by Zhejiang Luyuan with 9 percent.