Big Drop in Taiwan`s Bike Export Volume to EU in 1st Half of 2011

TAIPEI, Taiwan – Taiwan’s bike export to Europe dropped with a big 20.6 percent unit-wise in the first half of the year. Only 1,462,500 bikes were shipped from the Taichung based factories to Europe. For the first time in years also value-wise Taiwan’s bike export decreased.

According to statistics compiled by Taiwan Bicycle Exporters’ Association (TBEA), the close to 1.5 million shipped bikes to Europe had a value of US$ 368 million; down 6.4% on the figure of the first half year of 2010.

In a recent Taiwan newspaper report TBEA chairman Tony Lo said that the growing European debt crisis and the harsh winter weather in Europe seen early this year, dampened local consumer demand for bikes.

Taiwan total bike export declined by 12.41% to 2,257,700 units in the first half of this year. Exports to North America increased 13.3% in volume to 371,000 units, with export value shooting up 42.5% to US$ 212 million. This reflected recovering consumer demand in the USA.

Despite the decline in export volume, Lo stressed that the average export price of Taiwan`s bicycles still increased 27.1% yearly to US$ 348.93 in the first half of the year, due partly to the appreciation of the New Taiwan dollar and partly to price hikes of raw materials. As a result, the overall bike export value soared 11.3% to US$ 787 million during the same period.

In the newspaper report Tony Lo also stated that bilateral trade of bicycle parts between Taiwan and mainland China has significantly increased since the ECFA (Economic Cooperation Framework Agreement) signed in mid-2010 came into effect on Jan. 1, 2011, which will inject increasingly strong growth momentum into Taiwan`s bicycle industry in the near future.