Shortage of Spare Parts Hinders Bicycle Production

The popularity of cycling has been further boosted by the coronavirus epidemic, while the shortage of spare parts is expected to curb bicycle production in Hungary this year, Róbert Sipiczki, President of the Hungarian Cycle Industry and Trade Association, told the Hungarian state news agency MTI.

In 2020, 390,000 bicycles were produced in Hungary, the same order of magnitude as in the previous year. However, the epidemic already caused a shortage of parts last year, and supply chain difficulties could lead to a slight drop in domestic production this year. Manufacturers have already had to take a forced break this year," the President recalled.

In Europe, including Hungary, bicycles are assembled mainly from parts imported from the Far East. Four of the main companies in domestic production - Csepel, Gepida, Neuzer and Koliken - are Hungarian-owned. Currently, the largest Hungarian manufacturer is the Dutch Accell Hunland, and the Gyöngyös factory of the Taiwan-based Giant group has also been completed and will go into full production this year.

The total turnover of the domestic bicycle industry was about HUF 130 billion in 2019, which could be 5-7% higher in 2020, Róbert Sipiczki said.

Of the 390,000 bicycles produced last year, 280,000 were exported. The biggest market for exports are Germany, The Netherlands, Austria and Switzerland.
Cycling is becoming increasingly popular in Hungary as shown by the fact that almost 260,000 new bicycles were sold in Hungarian shops last year, up from 225,000 the year before. Of the bicycles produced in Hungary, around 110,000 were sold in the country last year, mostly mid-range products. The rest of the bicycles sold were imports, ranging from the highest category to the simplest," Sipiczki said.