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Asian OEMs Open Bicycle Factories in Europe

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AGUEDA, Portugal – Taiwan’s Fritz Jou Manufacturing is opening a bicycle factory at Bike Valley Portugal. The company announced this at the Taipei Cycle Show last week. It’s a major step forward in the ‘bringing production back to Europe’ initiatives and the reshoring project of the European bicycle industry.

Asian OEMs Open Bicycle Factories in Europe
‘Bike Valley Portugal is ultimate project where industry can take control over the supply chain again,’ says President Fritz Jou of Fritz Jou Manufacturing. – Bike Europe

“We are joining Bike Valley Portugal as this is the ultimate project where the industry can take control over the supply chain again,” says President Fritz Jou of Fritz Jou Manufacturing based in Taiwan. “In the past decades I have seen many production shifts based on GSP+, anti-dumping duties, and other tax incentives. These aspects are difficult to control by the industry. In the Bike Valley project we can finally produce where the market is, reduce the time to market and improve our flexibility. That is our ultimate goal.”

Changing landscape

“We are confident about the future of the Bike Valley in Portugal even when the European Commission decides in March 2019 to discontinue the anti-dumping duty on bicycles made in China that are exported to Europe. It will certainly change the industry landscape,” says Fritz Jou.

The factory of Fritz Jou Manufacturing will have a capacity of 250,000 units annually and is expected to start production by the end of 2016.

More OEMs building factories

In addition to Fritz Jou Manufacturing, William Deng’s Oscar Bikes is also establishing an assembly facility in Portugal’s Bike Valley. This has been confirmed now by numerous sources to Bike Europe. Oscar Bikes previously operated facilities in Tunisia and Cambodia. It is said that the new factory in Portugal will have a capacity of 600,000 units annually.

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