Select Language:
On December 3rd, the complete prohibition of electric bike sales under China’s old national standards has set the stage for a challenging period of industry adjustment.
Several e-bike retailers, including those affiliated with major companies like Aima Technology Group, Tailag Technology Group, and Yadea, attempted to sidestep the ban by transferring their existing inventory into the names of staff members and even relatives prior to December 1st. During visits, it was observed that these stores now charge an additional transfer fee ranging from CNY500 to CNY1,000 (equivalent to about USD70 to USD140), labeling these bikes as “zero-kilometer second-hand vehicles.”
From September 1st, the new national standards increased the maximum weight limit for electric bikes equipped with lead-acid batteries from 55 to 63 kilograms to enhance range, while maintaining a top speed of 25 km/h. The regulations also mandate the installation of locking mechanisms that deactivate the motor if the bike exceeds the speed limit.
Manufacturers must now incorporate battery packs and control units capable of ceasing operation if tampered with. The standards specify that plastic components, such as seats, battery compartments, and decorative parts, must account for no more than 5.5% of the total weight and be made from fire-resistant, non-metallic materials. Additionally, manufacturers are required to clearly display the estimated service life of their products on designated plates and certificates.
To facilitate the transition, China introduced a three-month buffer period, allowing outlets to sell remaining stock of models built under the old standards while enabling manufacturers to produce models adhering to the new requirements.
In the short term, electric bike sales are expected to decline significantly, partly due to increased manufacturing costs brought on by the new standards. A manager from a prominent manufacturer told Securities Times that it would take at least six months for the market to stabilize and rebound. Retailers have reported price hikes of CNY500 to CNY1,000 (USD70 to USD140) for consumer purchases, with some entry-level models now nearing CNY3,000.
Despite these short-term challenges, the adoption of the new standards is projected to propel long-term growth by filtering out lower-quality products from the market. Several leading manufacturers, such as Yadea, Aima, and Segway Ninebot, have completed their lineup updates to comply with the standards and plan to introduce their new models in a coordinated rollout starting mid-December.
Upstream suppliers are already seeing benefits from the regulatory upgrades. Baowu Magnesium Technology noted on November 26th that the adoption of magnesium alloy components by major electric bike producers is accelerating, driven by demand for lightweight, flame-retardant materials. Similarly, companies involved in the Internet of Things, like Queclink Wireless Solutions, are experiencing increased orders due to the mandatory inclusion of positioning features.
China’s electric bike market is forecasted to grow 16% over the next several years, reaching 59.3 million units by 2030, up from 51.2 million this year. Driven by supportive policies and technological innovations, the industry’s revenue is expected to rise slightly as well, expanding approximately 1.4% to CNY83.1 billion (about USD11.8 billion) within the same period.
ChatGPT
Perplexity
Gemini AI
Grok AI
