CHANGUA, Taiwan - Bicycle sales in the key European market resumed growth again resulting in accelerated clearance of older inventory and improved inventory structure, reports Merida Industry Co., Ltd. in its first half 2025 report. The US market continues to face uncertainty due to tariff policy, but strong sales performance from new products also contributed to improved earnings.
MUNICH, Germany - Despite a stagnating global economy, unresolved conflicts, and other geopolitical mood killers, the stock market boom continued, at least in the first quarter of 2025. Then came Trump trouble, with the US president instigating a global trade war. The tariff conflict is not only having an impact on the existing global economic order, but also on financial markets. The stock market went on a roller coaster. Investors are reacting to the unpredictability of the 'America First' prophet, which on a long-term could benefit Europe. In this context, here's an overview of how stock-listed bicycle industry companies fared in the first six months of 2025.
CHANGUA, Taiwan - The long-awaited turnaround from a declining to a rising bicycle market is becoming increasingly visible. Industry leaders remain cautious in their forecasts but dare to express themselves more positively. This was already clear last week at Eurobike. Merida Industry's financial report for the first half of 2025, in combination with their statement "to gradually expand our e-bike production capacity," indicates that the company is once more regaining trust in its future.
TAICHUNG, Taiwan - The bicycle industry is starting to gain some traction again after two years of standstill. Taiwan's manufacturers are now starting to report increased earnings for the first quarter of this year. Profit margins remain under pressure, suggesting that OEMs are making significant efforts to revive market activity.
CHANGHUA, Taiwan - For Merida Industry Co. Ltd., the excess inventory situation continues to have an impact on the financial performance. Yesterday the company reported a relatively steadily performance in 2024, with full-year revenue growing by 8.7% to NT$29.63 billion (€ 823 million). The company pointed out that the entire bicycle industry is still in the stage of destocking and inventory impairment. For Merida this means a net loss NT$732.66 million (€20.4 million) before tax which can be attributed to a one-time provision and did not affect cash flow, and it could still be used to offset taxes when profits are made in the future.
TAICHUNG, Taiwan - Any frequent visitor of bicycle industry factories in Taiwan, has seen that a lot of the workers come from countries like Philippines, Vietnam, Thailand or Indonesia. Often the signing in the factories is multi-lingual to facilitate the foreign workers. In a recent publication, LeMonde Diplomatique reports that they have found indicators of forced labour according to the International Labour Organisation (ILO), particularly in the Taiwan bicycle industry.
