CITIC Securities: Reaffirming the Importance and Core Direction of Motorcycles Going Overseas

CITIC Securities said that in recent years, Chinese motorcycle companies have actively expanded overseas, with a rapid increase in overseas market share, reaffirming the importance and core direction of motorcycles going global. The advantages of Chinese enterprises going global include: the high cost performance of certain models, helping companies quickly enter the market and seize market share. For example, the cost-effective strategy for scooters and ADV models has been effective, while the pricing competition strategy for cruiser and racing models has not yet started, but also has potential in the future. In terms of market potential, Chinese companies have different layout nodes and competitive stages in different key markets. Looking ahead, with the further improvement of Chinese companies' product matrix and the advantage of cost performance, a single Chinese brand can achieve annual sales of 150,000 to 200,000 units in the European and American markets, and around 700,000 to 600,000 units in the Latin American and ASEAN markets respectively.