In recent years, the electric tricycle industry has shown a thriving trend, showcasing unique charm and potential in both domestic and international markets.
Overseas markets: opportunities and challenges coexist
Domestic
Electric Tricycles have shone in overseas markets and become an emerging trend. With the help of social media, electric tricycles have attracted the attention of many overseas consumers due to their convenience, practicality, and personalization. The US market has shown strong interest in electric tricycles, however, due to adjustments in tariff policies, Chinese electric tricycle exports to the US face numerous obstacles. Starting from September 2024, the United States will significantly increase tariffs on Chinese electric vehicles, and electric tricycles are also subject to high tax rates due to classification disputes, resulting in a sharp decline in domestic manufacturers' supply to the United States.
Despite the setbacks in the US market, Chinese electric tricycles have ushered in new opportunities in other overseas markets. Relying on the "the Belt and Road" initiative, Southeast Asia, Africa and other developing countries have become key export regions. These regions have a strong demand for affordable and environmentally friendly transportation, and China's electric tricycles perfectly meet this demand. For example, the assembly plant established by Zhejiang Ruipu Intelligent Automobile Co., Ltd. in Spain has started small-scale production, achieving localized supply in Europe. The export volume of Jiangsu Guowei Motorcycle Co., Ltd., Jinpeng Group and other enterprises is also continuously increasing, with Jinpeng Group's electric tricycle exports growing by over 30% in 2024. Export models not only retain traditional practicality, but also incorporate modern technological elements, such as equipped with customized versions of "reverse, please pay attention" prompt sounds in English, French and other languages, and equipped with speakers, phone stands, USB interfaces, etc. Some high-end export models also have intelligent functions such as reverse imaging and cloud remote monitoring, greatly increasing their value compared to domestic models.
Domestic market: demand growth and technological upgrading
In China, the electric tricycle market is also developing rapidly. The booming development of urban delivery industries such as express delivery and food delivery has brought broad market space for freight electric tricycles. With the improvement of infrastructure and the enhancement of residents' consumption capacity in rural areas, the demand for electric tricycles for commuting and freight transportation has significantly increased. According to data from Zhiyan Consulting, the demand for electric tricycles in China will reach 13.85 million units in 2022, with the demand for leisure electric vehicles increasing from 1.5 million units in 2016 to 2.882 million units in 2023. The estimated sales volume of leisure tricycles in 2024 is about 3.5 million units, showing a strong growth trend.
Technological upgrading has become an important driving force for the development of the domestic electric tricycle market. On the one hand, lithium batteries are gradually replacing traditional lead-acid batteries, increasing vehicle range to over 150 kilometers, shortening charging time, extending battery life to over 2 years, and optimizing safety performance. On the other hand, the accelerated popularization of intelligent functions and the application of technologies such as the Internet of Things, GPS positioning, and remote monitoring have led to a continuous increase in the proportion of intelligent electric tricycles. At the same time, the use of lightweight materials such as carbon fiber and aluminum alloy reduces the overall weight of the vehicle, improves load capacity and energy efficiency, and enhances vehicle stability and durability.
Many companies are laying out in the field of electric tricycles, and market competition is becoming increasingly fierce. In addition to companies such as Meitao, Hainiu, and Ouhuang that specialize in electric tricycles, two wheeled electric vehicle brands such as Yadi, Lvyuan, and Beite have also launched leisure tricycle products. To stand out in the competition, enterprises focus on product differentiation and develop new products for different consumer groups and application scenarios. For example, launching stylish exterior car models for young consumers, adopting sheet metal body and integrated wrapped carport design to enhance vehicle safety and reliability; For the group of mothers, vehicle design pays more attention to comfort and convenience; Some car models also have intelligent features such as remote control with mobile phones, Bluetooth unlocking, and activating wipers through mobile apps, attracting more young users.
Policy level: Parallel regulation and support
Policies play an important role in the development of the electric tricycle industry. In terms of standardized management, various regions have strengthened supervision of electric tricycles, clarified vehicle classification standards and driver's license requirements. Leisure tricycles are divided into lightweight three wheeled motorcycles and three wheeled passenger motorcycles according to speed, driver's license requirements, and approved passenger capacity, and are subject to corresponding national standards. Drivers must hold the corresponding driver's license. Meanwhile, some cities have tightened their restrictions on fuel powered tricycles, prompting consumers to switch to electric tricycles.
In terms of supportive policies, the government continues to promote subsidy policies for new energy vehicles, encourage electric tricycles as the "last mile" logistics tool, and increase rural market promotion efforts in the rural revitalization strategy. On December 21, 2024, the Ministry of Public Security relaxed the upper limit for applying for D, E, and F driver's licenses to 70 years old. This policy adjustment is conducive to the popularization of leisure tricycles among the elderly population and further expands market demand.
Overall, driven by domestic and international market demand, the electric tricycle industry continues to innovate in technology and expand in market size. However, the development of the industry also faces challenges such as trade barriers in overseas markets, intensified competition in domestic markets, and further compliance with policy and regulatory requirements. In the future, enterprises need to continuously strengthen technological innovation, expand market channels, improve product quality and service levels, in order to respond to various opportunities and challenges in industry development and achieve sustainable development.
