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Japanese Motorcycles Are in Big Trouble

by Steve
Tuesday, November 20, 2007

Apparently, motorcycle riders in Egypt really love Chinese motorcycles.

The Xinhua News Agency, a Chinese-based news service, reports that two-wheeled vehicles are not only cheaper than their Japanese counterparts, but Egyptians really love 'em...

"I have two motorcycles: one is a China-made Dayun 150cc which I bought one year ago at the cost of 3,000 Egyptian pounds (about 550 U.S. dollars), and the other is a Japan-made Honda 400cc which I bought three years ago at the cost of 27,000 pounds (about 4,800 dollars). The Chinese one is cost-efficient and its quality is also good," Ahmed, a 30-year-old Egyptian, said Sunday evening at a bike and motorcycle components and retail store along a street at Cournish Maadi district in South Cairo.

The smiling Ahmed cannot help showing his satisfaction at the Chinese motorcycle, patting the motorcycle seat and pointing to the Chinese brand of a company in China's southern city of Guangzhou.

"Sometimes, I drive out with my wife, who sits on the backseat of the motorcycle. It's really nice. I like it," Ahmed said with a flavor of pride.
The report goes on to say that China's motorcycle exports to Egypt reached 83.3 million dollars in 2006, while the largest Egyptian agent company for Chinese motorcycles has sold more than 100,000 motorcycles since it began operations in 2004.

Read the rest of the article to learn just how bad the lovefest is between Egypt and China...
http://news.xinhuanet.com/english/2007-11/20/content_7113525.htm

Well it looks like Japanese motorcycle makers are losing the Egyptian market. But that's ok, they still have the US market right?

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Harley Sales Lagging in China

by Steve
Monday, September 17, 2007

Harley Davidson ChinaA year-and-a-half since Harley-Davidson announced its first dealership in China, sales are lagging, and it appears it's going to be a long time before they pick up.

Personal wealth in China does not appear to the issue. Rather, it's local laws in some 170 cities that make riding large-displacement motorcycles impractical, or making them difficult to own...

Many cities are concerned about congestion. Beijing allows people to own Harleys but only if they don't use them in the city, Doyle noted.

"You essentially can ride them, but you have to start at some distance out of town," Doyle said. "Practically speaking, that's what the situation is going to be for some time."
The company continues to press it's cause through the office of the U.S. Trade Representative and the Commerce Department.

I certainly don't claim to know the situation in China, but I've got this feeling that China doesn't want to see its streets flooded with American made vehicles. I think what China will eventually demand is that all Harleys sold in China must be made in China.

Source: Milwaukee Journal Sentinel

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