News Article

Bafang Denies EBMA’s E-Bike Dumping Accusations

Laws & Regulations 4209

SUZHOU, China – The HQ in China of e-bike drive system manufacturer Bafang has issued a statement on the e-bike dumping accusations by the European Bicycle Manufacturers Association (EBMA). The Bafang statement is in particular pointed to the EBMA allegations on Bafang being state-subsidized. The company denies these allegations, and not only for Bafang. Here’s Bafang’s statement. 
 

Bafang Denies EBMA’s E-Bike Dumping Accusations
Bafang claims ‘There’s no government subsidies and support in China’s traditional e-bike industry.’ – Photo Bike Europe

“We found several incorrect and non-proven allegations made by EBMA in their EU documents on China’s alleged electric bicycle ‘dumping’ indictments. Besides many erroneous allegations in their case in general, there are also incorrect allegations made about Bafang receiving heavy government subsidies without any evidence,” states Bafang.

These, according to Bafang incorrect, allegations are: “The subsidies for Chinese e-bike producers and their suppliers, most importantly Bafang, the main Chinese producer of e-bike engines, to catch up quickly with the EU industry in terms of know-how. These subsidies would have been provided by provincial, state and local authorities as part of China’s 12th and 13th 5-year plan for bicycles.”

The second allegation Bafang labeled as incorrect is the substantial government subsidies Bafang as well as BAK would have received to be able to catch up with European technology in general and Bosch’ mid-motor system in particular, including the motor, the computer or controller and the battery.

Bafang entered the market in 1999

Bafang furthers that: “Bafang entered the electric bicycle industry in 1999, long before the well-known European e-bike component makers entered the market, and launched its own brand in 2003. In nearly 15 years history, we have experienced many changes and challenges in the development of electric bicycles in China and Europe. In these years, Bafang has become an important global e-bike industry component supplier.”

“The indictment from EBMA has several accusations without any proof that Bafang received heavy government subsidies and with that, e-bikes were allegedly ‘dumped’ into the European market. Besides many other wrong and constructed arguments in the paper, it proves that EBMA has an incomplete, distorted and biased understanding on the history of the development of electric power-assisted bicycle and the Chinese e-bike industry.”

‘No government subsidies and support’

“The speculation and imagination in the indictment from EBMA has several accusations that Bafang received government heavy state-subsidies and with that, e-bikes were dumped into the European market. In fact, it proved that the prosecutor has an incomplete understanding about the history of the development of electric power-assisted bicycle.”

China’s e-bike development started in 1995

“China’s large-scale development of electric power-assisted bicycles began in 1995, and now annual sales have stabilized at a scale of 22 million vehicles. The initial start was about electric mopeds. The technical solutions are similar to the current European electric pedelecs. It has become a traditional industry with mature basic technologies. Major changes are the improvement of the industrial styling and the adoption of Internet technology. In today’s era, the freedom market competition is in China, and there is no monopoly thinking and attempts thereto. The industry development and progress is entirely the result of market competition. There is no government subsidies and support in this traditional industry. So a lot of the allegations regarding the anti-dumping have no basis.”

‘Integrating advantages of China, Europe and United States’

Bafang concludes the statement with “Bafang has set up Service Centers in the Netherlands, Germany and the United States; hired top talents from local industries; provided local services and local industrial design and thus integrated the advantages of China, Europe and the United States. We organized an efficient management team and insist on the principle of ‘Technological Innovation, High Quality, Exceed Customer Expectations Constantly, Bringing green industries developed in China for nearly 20 years with high efficient logistics organizations and Internet thinking’.”

EBMA comment

Bike Europe asked EBMA for a comment on the Bafang statement. EBMA’s Secretary General Moreno Fioravanti said “Neither I nor EBMA is going to enter into a public discussion with Bafang about matters which the European Commission is now investigating. We need to let the Commission do its work and see what the results are. In that regard, we hope that all Chinese manufacturers will give the Commission their full and sincere cooperation.”

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