Taiwan Bike Makers Step Up Production

TAIPEI, Taiwan (November 2) - In a bid to fill the flooding orders, all the top-three bicycle makers in Taiwan have decided to prolong working hours and/or cancel weekend holidays to increase capacities. This was reported November 1 by the China Post. Industry sources said that the top-three, Giant Manufacturing Co., Ltd., Merida Industry Co., Ltd. and Ideal Bike Corp., are all expected to see revenues hit record highs this year, a rare phenomenon in the local bike line. In addition, the sources said, all the three companies' production lines will be running at full capacity until at least next year's first quarter. Giant, the island's No. 1 bikemaker, originally aimed to garner annual revenue of TWD 6.5 billion (€ 153mn) this year but the actual figure may hit TWD 7.5 billion (€ 176mn), a historical high. Merida is likely to see its revenue reach TWD 5 billion (€ 118mn) this year, the sources said. Ideal bike, which focuses on original equipment/design manufacturing business for big international brands, said that its business has been flourishing, as more and more European customers have shifted their orders to Taiwan suppliers after the Europe Union (EU) began to investigate alleged dumping activities of Vietnamese suppliers. Ideal claimed that its existing capacity has lagged behind demands and the company has rent a plant nearby to increase production. Ideal expects to challenge a record annual revenue goal of TWD 2.1 billion (€ 49mn). (MH)