Colombia 2022. Bajaj Auto Back On Top Of A Skyrocketing Market (+35%) Rushing To New Record Sales

Colombian Motorcycles

Colombian Motorcycles Market is on the sky. In the second quarter the market is not slowing down the speed and sales grew up 23.9% and 53.2% respectively in April and May, scoring a first five month registration data at 350.345 (+35.3%) running to establish the new all-time record.

Colombian Motorcycles Industry Trend and Perspectives

In the 2022 the Colombian motorcycles market was expected to a single-digit growth to consolidate after booming up in the previous year at record level.

However, the start of the year was sustained by a skyrocketing demand and sales jumped up above expectations. In the first quarter sales have been 216.374 up a huge 34.6% from the correspondent period last year, marking the best Q1 ever.

In the second quarter the market is not slowing down the speed and sales grew up 23.9% and 53.2% respectively in April and May, scoring a first five month registration data at 350.345 (+35.3%) running to establish the new all-time record.

Following the lost sales in 2021 due to the transaction from older to new distributor, Bajaj Auto is back on top of the list with sales up a robust 71.6% in the first five months, ahead of Yamaha (+13.6%), AKT (+38.5%), Suzuki (+64.7%) and Honda (+0.3%).

Motorcycles Market Trend 2021

Following the double-digit lost reported in the previous year, the Colombian motorcycles industry rapidly recovered in the 2021 and at the end of a roaring year landed at the new all time record level near the three quarters of a million.

The industry is sustained by the strong economy rebound and by the demand for individual mobility, while electrification is still very low.

Colombian economy recovered rapidly fueling new consumer goods demand. Unemployment rate in marked in December a 24-month low and consumer sentiment is growing each quarter and the 2 and 3 Wheelers sector is taking all the benefit.  

In the entire 2021 two and three wheelers sales reached a record of 740.933, up a phenomenal 40.3% overtaking for the first time the 700.000 sales.

The market leader was again Yamaha with 125.954 sales (+19.7%) followed by Bajaj Auto with 117.787 sales (+15.6%), AKT with 99.413 (+50.2%) and Honda with 93.771 (+11.8%).

This year the market is shocked by the landing of Benelli. Starting local operation in the 2020, the Italian/Chinese manufacturer jumped at 10.097 sales acquiring over 10% market share.

Outstanding performance for Husqvarna (+266%), Victory (+87%) and Piaggio (+138%).

The big fact of the year is the difficulties reported by Bajaj, which has been market leader for over 10 years and now is falling down sharply. The reason behind this fall is the strategic changes applied by the Indian companies, which last year shifted the local partnership from Auteco (the largest distributors in the country, which could have done the mistake to become distributor of many brands) to UMA Group.

In addition, aiming to export in the region, Bajaj has just opened a plant in La Tebaida, Quindío. The new plant includes CKD operations for materials imported from the parent company. Operations start with motorcycle assembly lines with Pulsar, Dominar, Boxer, Platina, and Discover.

So we can expect a Bajaj recover next year.

Colombian Motorcycles

Colombian motorcycles industry heritage

In the last decade the Colombian motorcycle industry was completely transformed becoming not just a lifestyle sector, as in the past, but a key factor in the private mobility, thanks to the expansion of product offer, the fall of prices, the increased care for safety and the youngest generation love.

So today there is a wider range of consumers approaching the purchase of a motorcycle to transport themselves to the university, to their workplaces or working for the new fast developing category of delivery-men, people who use motorcycles to fast deliver everything, from food to goods.

Today in Colombia over 50% of vehicles park is on two-wheeler and in average there is a motorcycles each 5 people living in the country. These data allow to explain why motorcycles are actually an important tool for Colombians, for transportation, for lifestyle and for working as well.

To achieve these outstanding performance a brilliant job has been done by the government, which has progressively changed rules to guide the sector evolution, and by the manufacturers, which have made a tremendous effort to create local facilities and produce high quality-good priced vehicles and related products such as accessories, equipment and special clothing.

In Colombia there are six motorcycle manufacturers (the oldest is active since 1942) which operate assembling in partnership with top international firms, like Honda, Kawasaki, KTM, Kymco, Victory, Yamaha, Suzuki, Hero producing both for domestic market and export.

The Colombian motorcycles market is the fourth largest in Latin America after Brazil, Mexico and Argentina.

The market grew up consistently in the decade ended in 2014, when total sales hit the highest level 694.800 units.

The country has been chosen as production hub for the Latin America by several Asian manufacturers and is not a surprise to find as market leader the Indian Bajaj Auto.

Colombian Motorcycles