Taiwan EPA Announces Subsidization for Buying E-Bikes

Taipei, May 26, 2009 (CENS)--The Environmental Protection Administration (EPA) under the Taiwan Cabinet recently announced to subsidize NT$3,000 (US$88 at US$1: NT$34) for each electric bicycle sold in Taiwan from May until November 30 of 2010.

The rising electric-bike market in Taiwan is attracting ever more players to jump onto the bandwagon, including powered two-wheeler (PTW) and even automakers.

In addition to the top-three bicycle makers on the island, i.e. Giant Manufacturing Co., Ltd., Merida Industry Co., Ltd., and Ideal Bike Corp., top-three PTW makers Kwang Yang Motor Co., Ltd. (KYMCO), Sanyang Industry Co., Ltd. (SYM) and Yamaha Motor Taiwan Co. (Yamaha) as well as automaker China Motor Corp. (local assembler of Mitsubishis) are actively working on such light and green vehicle.

Both Giant and Merida have launched electric bicycles over several years, but the top-two players plan to push new models specifically developed for the island's consumers in the second half. Ideal, which focus on OEM orders for international major brands, will cooperate with famous American e-bike brand Breezer to tap the local market.

Kwang Yang plans to launch its first e-bike in the fourth quarter, saying that the government's subsidy has accelerated its e-bike development. Sanyang confirmed that they are working on both e-bikes with lead-acid and lithium-ion batteries and is scheduled to launch such products in the third quarter.

Senior managers at China Motor said that the company is evaluating the feasibility of producing e-bikes, without confirming any dates.

According to Cycling & Health R&D Center (CHC), the members in the Taiwan E-Bike Makers' Association has surged 60 so far from only 20 earlier, implying an exploding interest in the segment.