Register for free hotel and transport to China International Motorcycle Trade Expo
If you need anything from the Chinese motorcycle industry or think that the industry needs something from you write to the CMN team using the form below (sourcing, brand advice, import/export, introductions, product marketing etc.)
Production and sales of the Chinese Motorcycle Industry from Jan to Sept 2014
According to statistics, the output and sales of motorcycles witnessed noticeable increases in September 2014, with the sales reaching a monthly high this year. The total output and sales in the first three quarters respectively exceed 15 million units, representing lower year-on-year decrease rates.
In September, the industry-wide output and sales of motorcycles reached 1,836,400 units and 1,859,200 units respectively, representing month-on-month increases of 9.36% and 10.11% respectively but year-on-year decreases of 4.96% and 3.90% respectively. The output and sales of two-wheel motorcycles grew by 9.31% and 10.4% month on month but fell by 4.12% and 2.86% year on year to 1,627,000 and 1,651,800 units.
The output and sales of three-wheel motorcycles grew by 9.77% and 7.84% month on month but fell by 11.04% and 11.42% year on year to 209,400 and 207,500 units.
In September, among all models and varieties of two-wheel motorcycles, the output and sales of standard motorcycles grew by 10.98% and 11.67% month on month but fell by 7.94% and 6.53% year on year to 975,500 and 991,300 units; the output and sales of cub motorcycles grew by 1.43% and 5.05% month on month but fell by 7.62% and 4.42% year on year to 339,100 and 350,700 units; the output and sales of scooters maintained a good momentum to grew by 13.56% and 12.81% month on month and grew by 15.65% and 13.49% year on year to 312,400 and 309,700 units.
The sales of standard, cub, and scooter motorcycles accounted for 60.01%, 21.23%, and 18.75% of the total sales of two-wheel motorcycles. The percentages of standard and scooter motorcycles gained increases while the percentage of cub motorcycles witnessed a decrease month on month. The percentages of standard and cub motorcycles decreased while the percentage of scooters increased year on year.
In the first three quarters, industry-wide motorcycle output and sales totaled 15,615,100 and 15,668,500 units, respectively, representing 7.47% and 8.33% year-on-year decreases, 0.53% and 0.72% less than those for the first half of the year. Among total, the output and sales of two-wheel motorcycles fell by 8% and 8.89% year on year to 13,899,200 and 13,959,300 units, while the output and sales of three-wheel motorcycles fell by 3% and 3.49% year on year to 1,715,800 and 1,709,100 units. In the first three quarters, the industry-wide motorcycle output-sales ratio reached 100.34%, representing a 0.94% year-on-year decrease. By the end of September, the industry-wide enterprise inventory fell by 0.46% year on year to 635,500 units.
In the first nine months of 2014, the top 10 motorcycle manufacturers in sales were Dachangjiang (Haojue), Loncin, Lifan, Northern Ek Chor (Dayang), Guangzhou Dayun, Wuyang-Honda, Yinxiang, Zongshen, Jianshe, and Honda-Sundiro. Their sales totaled 1,577,800, 1,040,600, 1,008,200, 923,100, 733,100, 731,100, 718,200, 697,300, 677,000, and 607,400 units, respectively. Except Wuyang-Honda, which gained slight growth, the other nine suffered from year-on-year decreases to different extents. In the first three quarters, the ten enterprises sold 8,713,800 motorcycles in total, accounting for 55.61% of the total motorcycle sales and representing a 1.35% year-on-year increase.
From January to September in 2014, the motorcycle export volume reached 4,273,000,000 US dollars, representing a 3.52% year on year decrease, which is slightly less than that for the first eight months of the year. Wherein, the export volume and value of complete motorcycles reached 6,382,600 units and 3.545 billion US dollars, representing 7.58% and 5.74% year-on-year decreases. A total of 1,753,300 motorcycle engines were exported, representing a 22.93% year-on-year increase, while the export value reached 233 million US dollars, representing a 21.61% year-on-year increase; 69,300 ATVs were exported, representing a 2.86% year-on-year increase, while the export value reached 179 million US dollars, representing a 8.92% year-on-year increase; the export value of motorcycle parts grew by 1.19% year on year to 316,000,000 U.S. dollars.
In September, the export volume of motorcycle manufacturers totaled 490 million US dollars, representing a 7.28% month-on-month increase and 0.15% year-on-year decrease. The number of complete motorcycles exported grew by 9.46% month on month abut fell by 0.52% year on year to 741,900. The export value grew by 9.69% month on month but fell by 1.09% year on year to 417 million US dollars.
In September, the top five motorcycle series in export volume include 125cc (110 ml < displacement ≤ 125 ml), 150cc (125 ml < displacement ≤ 150 ml), 110cc (100 ml < displacement ≤ 110 ml), 50cc (displacement ≤ 50 ml), and 250cc (150ml < displacement ≤ 250ml). Their export volumes reached 276,100, 163,700, 145,600, 38,500 and 32,600 units, respectively. All the series gained month-on-month growths to different extents, with the growth rate of the 110cc series being the highest. In September, a total of 656,500 motorcycles in the five series mentioned above were exported, accounting for 88.49% of the total motorcycle export volume of China.
In the first nine months, the top five motorcycle series in export value were 125cc, 150cc, 110cc, 50cc and 250cc. Their export values reached 1.29 billion, 740 million, 617 million, 271 million and 263 million US dollars, respectively. In export value, the 110cc series maintained a slight year-on-year growth, while the others declined. From January to September, the export volume of motorcycles in the five series mentioned above totaled 3,181,000,000 U.S. dollars, accounting for 89.73% of the total motorcycle export value of China.
From January to September, the top five motorcycle series in export volume include 125cc, 150cc, 110cc, 50cc and 250cc. Their export volumes reached 2,402,700, 1,329,400, 1,272,700, 438,400 and 321,700 units, respectively. In export volume, the 110cc series grew slightly year on year, while the others declined. From January to September, a total of 5,764,900 motorcycles in the five series mentioned above were exported, accounting for 90.32% of the total motorcycle export volume of China.
In the first nine months of 2014, the top 10 motorcycle manufacturers in export value were Loncin, Honda-Sundiro, Guangzhou Dayun, Lifan, Dachangjiang (Haojue), Yinxiang, Haojin, Shineray, Wuyang-Honda, and Zongshen. Their export value reached 2.4 billion US dollars, accounting for 56.17% of the total motorcycle export value of China. In the same period, the top 10 motorcycle manufacturers in export volume include Loncin, Lifan, Yinxiang, Dachangjiang (Haojue), Haojin, Guangzhou Dayun, Honda-Sundiro, Shineray, Zongshen, and Northern Ek Chor. Their export volume reached 3,557,800 units, accounting for 55.74% of the total motorcycle export volume of China.
2013/2014 reveals the changing strategies and focus of
Chinese motorcycle industry
Report by David McMullan in Chongqing, China for China Motorcycle News
2013 was heavily earmarked as the year that would predict the future trends of the Chinese motorcycle industry. Predictably (due to the ongoing ban on traditionally fueled 2-wheelers in Chinese urban centres) the overall motorcycle output and sales decreased year on year by 3.12% and 2.56% to 22,891,700 and 23,045,000 units respectively although the more lucrative export market grew with a year-on-year increase of 2.6% in 2013 to 9,168,100 units. This accounted for 39.75% of total motorcycle sales from China.
This figure (induced by greater concentration on foreign markets) is a new record for the Chinese industry with the export percentage of some enterprises (mainly in Chongqing) reaching up to 70%, the majority of enterprises exporting medium- and low-end motorcycles, leveraging high cost-effectiveness to compete in foreign markets. Currently, most of China's medium- and low-end motorcycles are exported to Asia, Africa, and Latin America at an average price of RMB 3218 (USD 532.92) per unit with cost-effectiveness providing the only real competitiveness of the products.
According to statistics provided by Chinese Customs, China had exported 9,128,400 motorcycles totaling RMB 4,865 million at an average price of USD 532.92 to 198 countries and regions during the first 11 months of 2013. Export to Asia, Africa, and Latin America accounted for 87.57% of the total export volume, with Myanmar, Nigeria, Argentina, Venezuela, Philippines, Togo, Mexico, Russia, Angola, and Columbia topping the export destination list. A total of 4,639,600 motorcycles were exported to these top 10 countries, accounting for 50.83% of total export. , Motorcycle engine export saw an an increase of 0.87% to 26,191,300 units.
Asia, Africa, and South America are still experiencing great potential demands for motorcycles at present and China motorcycle companies have a long-term and stable market presence in these regions. However, competition is getting tougher due to the sales increases of Indian and Japanese motorcycles on traditional Chinese markets.
From January to November, China imported 3728 motorcycles at an average price of USD 9408.21; these consisted of brands such as Harley Davidson, BMW, KYMCO, SYM, Ducati, and MV Agusta. The import volume mainly consisted of high-end motorcycles, with 66.04% of those imported being 800cc displacement or larger, causing a great average price gap between exported and imported motorcycles.
China's domestic motorcycle sales reached a high of around 19,000,000 units in 2009 and then suffered gradual decreases for 4 consecutive years. In 2013, the market decreased by 5.73% from 2012 to 13,880,000 units, 26.94% less than 2009.
Domestic sales decreased due to ban on motorcycles in urban centres, the national economic transformation and the rural market downturn. In Chinese rural areas, motorcycles are used for a variety of purposes, including personal transportation, passenger vehicles, and cargo transportation. Improved living standard in these areas in recent years has led to the replacement of motorcycles with mini-cars and e-bikes, with motorcycles reverting to their original purposes of personal transportation and recreation.
To meet these market changes, less standard and cub motorcycles for personal transportation have been produced and have been replaced by well-built, sturdy scooters. Statistics showed that well-built scooters had a market share of 19.7% in 2013. Over 30% of new models launched by motorcycle enterprises for the domestic market were scooters and more market shares for scooters are expected in 2014.
250 cc or larger displacement motorcycles for recreational
purposes witnessed a great sales increase in 2013. The total market volume had
been expanding after experiencing greater model diversity annually. Output and
sales increased by 7.70% and 9.03% year on year, to 789,900 and 791,700 units
respectively in 2013.
Demands for motorcycles with 400cc or larger displacement increased sharply in 2013, resulting in a sales increase of 56% to 8774 units although this still only occupied less than 1% of the total market. In China, Qjiang (Benelli) BJ600GS, Loncin LX650, and CFMOTO 650 were the major players in this category with nearly 50% of the total market share going to the BJ600GS. Over 4000 BJ600GS motorcycles were sold in 2013, according to Li Qi, manager of the Guangdong region for Qianjiang (owners of Benelli). This great sales gap is expected to be narrowed when products like the Kawasaki Ninja and the Honda CB300 are introduced to the Chinese market in 2014.
Mainly targeting rural markets, three-wheel motorcycles (tuc tucs) have experienced rapid sales growth in recent years. Their output and sales increased by 4.78% and 5.22% year on year to 2,424,200 and 2,434,900 units respectively in 2013.
In 2013, 29 motorcycle manufacturers suffered from financial deficits, a decrease of 3 manufactures compared with figures declared in 2012.
The total revenue of the Chinese motorcycle industry increased by 3.24% year on year to RMB 112,621 million; including a year-on-year profit increase of 20.24% to RMB 3,322 million. This profit increase was mainly attributed to technical improvement and higher added value on motorcycles despite of the sales volume decreases suffered during industrial transformation in recent years.