The 2024 China International Bicycle Fair or the Shanghai Show was held at the Shanghai New International Expo Centre in Pudong from May 5th to May 8th. The 2024 SIBF covered an area of 135 000 square meters at the SNIEC, there was 1 200 exhibitors, and attended by 170 000 visitors with buyers from 132 countries. In 2024, the SIBF was held under the theme: New Track, New Power, New Journey.
In an article on 16 April 2024, I wrote about a possible Surprise in Shanghai as follows: “SIBF caters for domestic Chinese demand as well as for export markets while Taipei Cycle Show caters for mainly export markets. There is a big difference between these 2 important Asian Cycle Shows. My recent visits in 2023, to Chinese assemblers and supply chain vendors, it has been very clear to me that the Chinese have switched production to be focused on domestic Chinese demand and away from export markets. This switch has been forced by the downturn in export demand as supply of cycling product outstrips demand in Western and developed markets. The Chinese domestic demand has been resilient. The Surprise will likely be a proliferation of Chinese domestic brands and a dearth of International brands who are now struggling with the Law of Supply and Demand in their home markets”.
So, was there a Shanghai Surprise? Not really! China is booming.
The Global Market is experiencing a downturn in sales and economic stagnation due to an excess of bicycle inventory at Global Tier 1 Brands. The Chinese market stands out as a shining exception. The domestic demand for bicycles is growing rapidly. This is especially true for mid and high-end sports bicycles and road bikes. Many local manufacturers, who previously relied heavily on exports such as Xidesheng and Fushida, have shifted their focus to the domestic market due to a sharp decline in export orders. Assemblers such as Giant and Merida that have felt the pain of the Global Market are bleeding market share in China to Xidesheng and Fushida who are leading with a China first strategy.
The only international brand that seems to be bucking the trend and taking the market share fight to Xidesheng and Fushida is Van Rysel. Decathlon a global sporting goods retailer with a large retail footprint in China is using its own distribution channel to rapidly expand Van Rysel sales in China and has left other Global Tier 1 brands with an excellent case study on how to capture the Chinese retail market. It is certainly helping Decathlon and Van Rysel that they sponsor the UCI Pro Team AG2R and participates in this year's Giro d'Italia and Tour de France.
The Shanghai Show was an excellent opportunity for us to renew old friendships, strengthen current relationships and explore new opportunities with all the suppliers of Rush Sports that were present at the SIBF. We also had the opportunity to have 2 dinners on the famous Shanghai Bund with its beautiful colonial era buildings that overlook the famous view of the Shanghai financial district.
We are already looking forward to the 2025 Shanghai Show!
