After Inventory Pressure Eases, Bicycle Industry Awaits Favorable Global Conditions

The global bicycle market in 2025 presents a mixed picture—one bright spot and two weak links. According to industry data, the three major markets—China, the United States, and Europe—have shown divergent performance. China has outperformed expectations, while the U.S. and Europe remain relatively sluggish, leaving the outlook uncertain.

Although China saw exceptionally strong demand last year and was expected to decline this year, the market has so far maintained steady volume both in domestic consumption and exports. In contrast, European demand remains soft, hampered by inflation and weaker consumer spending. The U.S. market is further affected by policy uncertainties, making recovery harder to gauge.

In Taiwan, leading bicycle manufacturers such as Giant and Merida have largely resolved inventory backlogs and adjusted production capacity. They are also investing heavily in the growing electric-assisted bicycle (e-bike) segment. However, the softening demand in the U.S. and Europe continues to weigh on Taiwan’s export momentum. Industry players note that while global inventory levels are now low, a clear signal of restocking demand has yet to emerge. As a result, the market remains in a wait-and-see mode.

The industry had originally hoped for a return to normalcy in 2025. However, former U.S. President Donald Trump’s trade and tariff policies have added unpredictability to the global economic outlook, dampening consumer confidence and spending. Even though past challenges such as excess inventory and bad debts have been addressed, companies remain cautious about this year’s market prospects.

Giant emphasized that while the industry's internal issues have largely been resolved, the major uncertainties now lie in the external environment—ranging from geopolitical tensions to climate-related disruptions and raw material price fluctuations. Similarly, tire manufacturer Kenda noted that although the industry had started to see signs of recovery, the policy landscape and market instability have clouded the path forward.

Overall, Taiwan's bicycle industry is currently in a phase of "stable waiting." Despite the lack of near-term growth drivers, long-term potential remains promising thanks to rising global awareness of environmental sustainability and green mobility. Industry leaders believe that only when the macroeconomic environment stabilizes—and new product cycles and distribution channels are reactivated—will the market see a true resurgence.