World Motorcycles market is projected to lose over 12 million units during the 2020 as covid19 economic crisis effect. Standing tight to our mission and supporting all our global clients, the McD Team created a task force to study in deep the short and medium terms effects of global Covid19 crisis into our loved motorcycles industry.
Beyond coronavirus: The road ahead the Motorcycles industry
Standing tight to our mission and supporting all our global clients, the McD Team created a task force to study in deep the short and medium terms effects of global Covid19 crisis into our loved motorcycles industry.
Top Managements have to phase crucial questions today, as the plants start to progressively re-open:
- What to produce?
- Which countries to supply?
- With which volumes?
- How to distribute the short available production?
- How to support the distribution network when short in cash?
- Will EVs segment boom or collapse?
- What about the 2021 Model Year? Is it still necessary?
- Will Stage 5 emission be really introduced in Europe by next January?
- What challenges are Motorcycles players likely to face in 2021 and later?
- When will demand return to 2019 levels?
- Will the pandemic permanently alter the industry’s structure and dynamics?
To help on finding the best answers, we are examining and explaining the motorcycles market trends, considering the disruptive impact of Covid-19, taking into account a wide range of factors and developing market projection for the period 2020-2025 based on the effects of three index developed by our Research Team, the Base Trend Index (pre-Covid19 outlook), the Disaster Covid-19 Index (impact of anti-covid19 actions) and the Recovery Route Index (economic impact on our sector).
The forecast cover the monthly data from next months and will be adjusted any month, as the actual data will be collected.
We have forecast at global/regional/country/segment/brand levels.
In the 2020 the global industry will lose over 12 million sales
Combining the forecast released country by country, we know that the global industry is projected at the deepest fall ever, losing over 12 million sales from the previous year. The market will be impacted much less than the automotive due to the unique global distribution. Indeed, while Europe, North and South America will report huge falls, sales in Asia will be resilient, with ASEAN countries (a part Malaysia) and Taiwan able to contain the lost with a marginal level.
China has already restarted and is running ahead recovering the Q1 lost sales, while India, already expected to lose million sales, represents today the most challenging area, considering the Covid19 is still fast spreading.
In the 2019 Global Motorcycles sales down 1.6 million units
The global motorcycles market continues on the positive pathway taken in the last years despite in the 2019 sales declined from the record achieved in the previous year.
The global industry was shocked in the 2016, when the changes of rules in China penalized the new two-wheeler registrations and the market, at those times the largest in the World, felt down losing over 5 million units in a single year. However, the Indian market fast growth together with other emerging countries, like The Philippines and Pakistan, allowed the industry to recover and in the 2018 global sales were back at the 2014 level of 61.7 million units.
In the 2019, the largest market, India, has lost 3.1 million sales and despite the recovery of China (+1.3 million) and the good moods in Europe, the industry declined at 60.1 million units, losing 1.6 million from the previous year.
Looking at the different types of vehicles in the industry, the over 50cc scooter segment still represent the largest part of the market with 25.8 million sales in the 2019 (-0.7 million) followed by the motorbikes segment with 24.4 million (-1.2 million from the previous year), the moped at 4.6 million (+0.2 million), the tricycles at 4.7 million (up 0.15 million) and the Quadricycles/ATV at 559.000, marginally positive.
Considering the CC-Class segmentation, the range between 51-125cc is by far the largest in the market, counting near 70% of the total, followed by the 126-250cc at 24.8%. The cc-class mix changes when considering only the ATVs or Motorcycles segments
The largest market in the World is India with 18.5 million sales, followed by China at 16.3 million, Indonesia at 6.5 million, Vietnam at 3.2 million and the Philippines at 1.8 million.
In sixth place Thailand with 1.67 million, followed by Pakistan at 1.67 million, Brazil and Mexico just over 1 million and in 10th place Taiwan with 0.9 million.
The largest European country, France ranked only in 17th place, while USArank 11th and Japan 15th.