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StarTube:EP08 Electric Bike Industry

StarTube:EP08 Electric Bike Industry

This reports contains the intro and analysis of Electric Bike Industry and product recommendation, also with the monthly PPI and Shandong Industrial Clusters.

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Introduction on Electric Bike Industry and PEST analysis on its market.

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Best matching products for Electric Bike Industry on

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PPI indicates raw material prices and further influences company revenue.

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Shangdong Industrial clusters and its machinery products

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Electric Bike Industry

Electric bike is a bicycle with an integrated electric motor drive mechanism and battery, which produces power for causing or assisting propulsion. Various kinds of globally available e-bikes range from electric bikes with a small motor to assist the pedal-power of the rider to more powerful e-bikes that produce power to completely drive the bike using throttle.


  • Implementation of government regulations to encourage the use of electric bikes

Governments of various countries are taking initiatives to reduce the carbon footprints by encouraging the use of electric bikes, electric vehicles, and bicycles, owing to increase in awareness toward the hazardous effects of using vehicles running on fossil fuels. Moreover, governments are constructing bicycle-friendly streets, which are encouraging individuals to opt for bicycle as a key mode of commute. Electric bicycles, scooters, and motorcycles have gained significant attention from various governments as reliable and efficient types of light motor vehicles (LMVs), which help in reducing the carbon footprint. Furthermore, to encourage the use of these environment-friendly vehicles, governments around the world are supporting for the purchase of electric mobility, in terms of tax credits and incentives. For instance, in June 2019, the Indian Government announced a plan to lower the goods & service tax (GST) on e-vehicles from 12% to 5% for faster adoption of electric vehicles. Furthermore, infrastructure facilities such as guarded bicycle parking facilities, construction of more bicycle (express) routes, and establishment of battery charging stations in many countries by the governments significantly boost the adoption of electric bikes by users, thereby propelling the growth of the E-bikes market.

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  • Consumer inclination toward use of e-bikes as an eco-friendly & efficient solution for commute

Increase in global carbon emission by fuel combustion has been one of the major concerns for governments and environmentalists from the past few decades. This, in turn, boosts the demand for electric vehicles across the globe, thereby supplementing the growth of the market. In addition, due to rise in cost of fuel at international level, increase in pollution, and traffic congestion especially in urban areas have increased the popularity of electric bikes across every continent. Moreover, higher running and maintenance cost of fuel vehicle leads to shift in preference for electric bike in daily commute, which, in turn, propels the E-bikes market growth.  


  • Restraints: High cost of e-bikes

High cost of e-bikes is a major factor that restrains the growth of the E-bikes market. The cost of the battery and technology makes e-bikes costlier as compared to traditional bicycles, conventional scooters, or motorcycles. Hence, consumers find conventional scooters or motorcycles superior in performance with same or less price. Moreover, the use of lithium–ion batteries or drive mechanism of motor incurs maximum cost, thereby restraining the growth of the market. Hence, upsurge in adoption of e-bikes in countries other than China is limited by high costs. However, the E-bikes market is growing at a rapid rate globally, which may reduce the impact of this restraint in the near future.


  • Improvement in bicycling infrastructure & battery technology

E-bikes are less expensive than cars, do not require license, and can be used on existing bicycling infrastructure. Rapid urbanization and less preference of consumers to use cars due to increased traffic congestion are anticipated to offer lucrative opportunities for market expansion. In addition, governments of various countries focus on the development of infrastructure for e-bikes, including bicycle tracks and public charging stations with the inclination of consumers toward e-bikes. For instance, Sanyo (Japan) opened two solar parking lots in Tokyo where around 100 electric bicycles can be recharged from solar panels. Moreover, consistent technological innovations in e-bike by market players is propelling the market growth. For instance, in 2017, commercial bike racks & bike parking systems manufacturer, Bikeep introduced the solution of smart bicycle rack that provides electric bicycle charging. The solution will be available for the most popular e-bikes. Thus, all these factors collectively are expected to offer remunerative opportunities for the expansion of the global E-bikes market during the forecast period. 

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  • Opportunity: Trend towards connected e-Bikes

With the growing popularity of e-bikes, there are technological advancements in the field of e-bikes. The connected e-bike is one such advancement, wherein the SIM module enables the e-bike to send and receive data to and from the cloud without a connected smartphone. Some of the important features offered by the connected e-bike include automatic emergency call, integrated navigation, social media connection, an anti-theft system, and remote diagnostics. Bosch is one of the major players in the ebike market, offering connected e-bike solution. For instance, SmartphoneHub by Bosch can connect e-bikes to a smartphone and support the riders before and after their journey. The Lock premium function by Bosch also transforms the Kiox connected onboard computer into the key for greater security. Nyon from Bosch determines the pedaling force and frequency during the journey and uses this information to calculate the cyclist’s performance and energy consumption. On platforms such as komoot, which is integrated into the COBI.Bike app, millions of users can exchange information with each other and discover new routes with recommendations and tips from the community.


  • Challenges: Technology challenges

The two most fundamental elements of the e-bike are the motor and battery. The motor provides the force, and the battery stores and supplies the energy. Controlling the motor's speed and torque across a wide range of speed and load conditions is one of the challenges for e-bike manufacturers. With the finite amount of stored energy available in a battery, the battery capacity must get used as efficiently as possible. An increase in the battery size would increase the capacity, increasing the weight of the e-bike. Therefore, determining the right battery capacity in terms of operation and range would be important for battery manufacturers. Also, consumers are very technology-oriented with devices such as smartphones and tablets. Therefore, e-bike manufacturers are faced with the challenge of providing functionality and intelligence in e-bikes that would be compatible with smartphones and tablets at a minimum amount of power, either through a dedicated onboard device or by providing connectivity to the smartphone or tablet.


  • Lithium-Ion batteries are estimated to hold the largest share in the ebike market

The lithium-ion battery segment is estimated to account for the largest share of the ebike market due to lithium-ion batteries' various benefits. For instance, lithium-ion batteries are eco-friendly, have a better life cycle, and generate more power to weight ratio than other battery types. These batteries have also shown a sharp decline in price in recent years. The effort of e-bike manufacturers to produce lightweight e-bikes has also resulted in the higher adoption of lithium-ion batteries. E-bikes in China were equipped with lead acid batteries. However, due to government regulations announced in April 2019, the Chinese market has shifted towards lithium-ion batteries, resulting in a huge spike in demand for lithium-ion batteries in the Asia Pacific region from 2019.

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  • Mid-motor is expected to be the fastest-growing market segment

The majority of the European and North American e-bike manufacturers are shifting from hub to mid motors due to mid motors’ advantages, such as smaller size, lighter weight, lesser noise, and seamless integration with bike frames. Therefore, the mid-motor segment is projected to register a higher CAGR during the forecast period.


Electric Bike Market, By Usage

  • Mountain/Trekking
  • City/Urban
  • Cargo
  • Others

Electric Bike Market, By Battery

  • Lithium-Ion
  • Lithium-Ion Polymer
  • Lead Acid
  • Others

Electric Bike Market, By Speed

  • Up to 25 KMPH
  • 25-45 KMPH

Electric Bike Market, By Motor

  • Mid Motor
  • Hub Motor

Electric Bike Market, By Mode

  • Pedal Assist Mode
  • Throttle Mode
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  • The producer price index, which indicates the raw material prices, still has a general increase.
Producer Price Index for Industrial Products
Indicators [Producer Price Index for Industrial Products (preceding month=100)] Aug 2021 Jul 2021 Jun 2021
Total 100.7 100.5 100.3
Mining and Washing of Coal 106.5 106.6 105.2
Extraction of Petroleum and Natural Gas 98.8 105.9 102.5
Mining and Processing of Ferrous Metal Ores 98.5 103.6 105.4
Mining and Processing of Non-Ferrous Metal Ores 100.7 100.2 101.6
Mining and Processing of Non-metal Ores 100.6 100.4 100.5
Mining and Support Activities 99.8 105.0 99.7
Processing of Food from Agricultural Products 100.0 100.0 99.1
Manufacture of Foods 100.3 100.2 100.0
Manufacture of Liquor, Beverages and Refined Tea 99.7 100.2 100.1
Manufacture of Tobacco 100.0 100.0 100.2
Manufacture of Textile 101.0 100.6 100.0
Manufacture of Textile, Wearing Apparel and Accessories 100.1 100.2 99.8
Manufacture of Leather, Fur, Feather and Related Products and Footwear 100.1 100.3 99.7
Processing of Timber, Manufacture of Wood, Bamboo, Rattan, Palm and Straw Products 100.1 100.4 99.9
Manufacture of Furniture 100.1 100.5 99.5
Manufacture of Paper and Paper Products 99.7 99.4 100.0
Printing and Reproduction of Recording Media 99.8 100.1 99.7
Manufacture of Articles for Culture, Education, Arts and Crafts, Sport and Entertainment Activities 100.0 100.3 99.6
Processing of Petroleum, Coal and Other Fuels 101.0 102.6 103.1
Manufacture of Raw Chemical Materials and Chemical Products 101.9 100.8 100.2
Manufacture of Medicines 100.0 99.8 99.7
Manufacture of Chemical Fibres 101.0 101.8 99.2
Manufacture of Rubber and Plastics Products 100.1 100.1 100.2
Manufacture of Non-metallic Mineral Products 99.9 98.9 100.0
Smelting and Pressing of Ferrous Metals 102.2 99.8 99.3
Smelting and Pressing of Non-ferrous Metals 101.4 99.9 99.9
Manufacture of Metal Products 100.6 100.5 100.8
Manufacture of General Purpose Machinery 100.2 100.3 100.4
Manufacture of Special Purpose Machinery 100.2 100.2 100.1
Manufacture of Automobiles 100.1 100.1 100.2
Manufacture of Railway, Ship, Aerospace and Other Transport Equipments 100.3 100.2 100.0
Manufacture of Electrical Machinery and Apparatus 100.4 100.5 100.9
Manufacture of Computers, Communication and Other Electronic Equipment 100.1 100.6 100.2
Manufacture of Measuring Instruments and Machinery 100.0 100.5 99.6
Other Manufacture 100.1 100.3 99.7
Utilization of Waste Resources 100.2 99.8 99.6
Repair Service of Metal Products, Machinery and Equipment 100.1 100.2 99.7
Production and Supply of Electric Power and Heat Power 99.6 100.0 99.6
Production and Supply of Gas 101.7 100.2 99.9
Production and Supply of Water 100.0 100.1 100.3
Data Sources: National Bureau of Statistics

StarTube07 Shangdong Industrial clusters and its machinery products

  • From the table below, these cities in Shandong, namely Qingdao, Heze, and Yantai, occupy most of the industries. And Shandong Province has multiple industrial chains in the Manufacturing and Processing Machinery and is the leading province in this industry.
  • Geographically, Shandong is a major excavator province in China, with a total of over 8k related companies, far ahead of other provinces, accounting for 16% of the country's total.
Detailed Information on Shandong Industrial Clusters
Agriculture & Food Qingdao Zhucheng Weihai Tengzhou
Apparel & Accessories Heze Qingdao Zibo Wenshang
Jimo Zhucheng Weihai Yantai
Arts & Crafts Heze      
Chemicals Linyi Zibo Dongying Weihai
Construction & Decoration Linyi Heze Dongying  
Electrical & Electronics Heze      
Health & Medicine Heze Weihai    
Light Industry & Daily Use Heze Dongying Zhucheng  
Manufacturing & Processing Machinery Heze Wenshang Dongying Zhucheng
Yanzhoui Tengzhou    
Metallurgy, Mineral & Energy Linyi Heze Liaocheng  
Textile Zibo Wenshang    
Furniture Heze      
Auto, Motorcycle Parts & Accessories Zhucheng      
Sporting Goods & Recreation Wenshang Weihai    
Tools & Hardware Weihai      
Industrial Equipment & Components Zhucheng      
Packaging & Printing Zhucheng      
  • Engineering and Construction Machinery is Shandong industrial clusters’ strength and it has been a very important and major catalog on our platform as well. This bar chart tells the searching frequency distribution of certain products, excavator, loader, Engineering and Construction Machinery Parts, Concrete Machinery and Bulldozer take up the top 5, according to our database.
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XCMG 5ton New Construction Equipment Loader Zl50gn with Ce
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Zl16 1.6ton Hot Sale Hydraulic Pilot Joystick Control Front End Wheel Loader
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Zl20f 2.0ton Ce Proved Portable Quality Wheel Loader with Spare Parts
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