Forecast Period
|
2026-2030
|
Market Size (2024)
|
USD 18.5 Billion
|
CAGR (2025-2030)
|
3.10%
|
Fastest Growing Segment
|
Motorcycles
|
Largest Market
|
East China
|
Market Size (2030)
|
USD 22.2 Billion
|
Market Overview:
The China Two-Wheeler Market was
valued at USD 18.5 Billion in 2024 and is expected to reach USD 22.2 Billion by
2030 with a CAGR of 3.10% during the forecast period. China’s two-wheeler market is
evolving with the growing adoption of electric and smart mobility solutions.
The demand for two-wheelers is being fueled by congested traffic conditions in
cities and the need for affordable transport alternatives. According to the
China Association of Automobile Manufacturers (CAAM, Jan 2025), China’s total
vehicle production and sales reached 31.28 million and 31.44 million units,
respectively, in 2024 While the figures primarily reflect the four-wheeler
market, two-wheelers remain a substantial subsegment, with two-wheeler
production exceeding 21 million units, reflecting growth aligned with broader
industry momentum.
With a large urban working
population, motorcycles and scooters are a preferred mode of transport for both
personal and commercial use. New consumer expectations around performance,
safety, and tech-enabled features are shaping how manufacturers approach design
and innovation. Stringent emission regulations and carbon neutrality goals are
driving investment in clean technologies and electric variants.
Growth is further supported by
government subsidies and local policies promoting electric vehicle adoption.
The presence of a mature component manufacturing ecosystem and widespread
availability of service networks are encouraging faster product turnaround and
lower ownership costs. Consumers are shifting toward connected and lightweight
models that offer both efficiency and digital integration. Improvements in
vehicle range, battery lifecycle, and smart features are enhancing the value
proposition of electric two-wheelers.
Despite positive growth signals, the market faces
challenges related to unorganized local players, poor quality standards in
low-end segments, and rising competition from alternative mobility solutions.
Regulatory uncertainty in some regions and issues with charging infrastructure
continue to create roadblocks. Nevertheless, the long-term outlook remains
strong as companies invest in R&D, international expansion, and digital
transformation to capture new customer segments.
Market
Drivers
Urban Congestion and Last-Mile
Mobility
The increasing population
density in major Chinese cities has intensified traffic congestion, making
compact, agile transportation essential. Two-wheelers offer a practical
solution for navigating narrow streets and avoiding traffic bottlenecks,
particularly for short commutes and last-mile deliveries. As city
infrastructure becomes more crowded and demand for faster intra-city mobility
rises, two-wheelers are increasingly preferred by individuals and
delivery-based businesses. With ride-hailing and logistics platforms expanding
their fleets with two-wheelers, demand continues to surge. Public policies
promoting multimodal integration also position two-wheelers as a vital link in
urban transportation networks. This urban evolution fosters a market environment
where two-wheelers are seen as a necessity rather than a convenience. The
consistent growth of urban centers combined with the need for efficient
commuting solutions continues to fuel this demand, making last-mile mobility
one of the key forces pushing the two-wheeler market forward in the upcoming
forecast period.
Government Subsidies and Policy
Support
Government-led initiatives to
promote clean transportation have significantly benefited the two-wheeler
sector. Substantial subsidies for electric two-wheelers, relaxed registration
norms, and tax incentives have driven manufacturers to innovate and scale
production. These policies lower the cost barrier for consumers and promote
rapid adoption, particularly in low-income or rural segments. Licensing reforms
in some areas also simplify the legal process of owning and operating electric
two-wheelers. Further, targets set under national environmental strategies
encourage adoption of sustainable vehicle types, reinforcing the market’s
growth trajectory. Infrastructure support like EV charging stations complements
this policy framework. The presence of local government programs offering
exclusive zones for electric mobility or restricted access for internal
combustion vehicles further incentivizes buyers. These integrated policy
efforts not only drive up demand but also reduce dependence on imported oil,
aligning well with national sustainability objectives, and positioning
government support as a long-term growth pillar for the industry.
Affordable Mobility for Masses
Two-wheelers remain one of the
most cost-effective transportation modes for China’s vast population. Their low
acquisition cost, fuel or electricity efficiency, and minimal maintenance
requirements make them particularly appealing to lower and middle-income
demographics. As economic disparities remain across urban and rural regions,
affordability continues to influence purchasing decisions. Traditional and
electric scooters both cater to budget-conscious users looking for dependable
transport. Shared mobility services using two-wheelers further lower the entry
barrier, providing daily access without full ownership costs. In addition to
individuals, many small businesses and informal sector workers depend on
two-wheelers for service delivery, courier operations, or commuting to jobs.
Even with technological advancements, manufacturers continue offering baseline
models tailored for affordability. This consistent demand from economically
sensitive consumers ensures a stable base for the market. In the long term,
affordability plays a key role in ensuring market expansion beyond tier-one
cities into deeper markets across the country.
Traffic Safety Concerns
Rapid expansion in two-wheeler
usage has resulted in increased traffic incidents, raising concerns over road
safety. Many urban centers report a high proportion of traffic accidents
involving motorcycles or scooters, especially due to speeding, non-compliance
with traffic rules, or lack of proper licensing. Inexperienced riders, underage
usage, and informal driving schools compound the issue. While regulatory
efforts have tightened licensing norms, enforcement often lags in smaller towns
and rural zones. The lack of dedicated lanes for two-wheelers and poor road
conditions also heighten risk. Negative public perception stemming from safety
concerns can hinder adoption among cautious consumers. Insurance costs may also
rise, deterring budget-focused users. These safety issues pose a reputational
challenge for the industry and demand long-term investment in rider education,
vehicle safety features, and improved road infrastructure. If unaddressed, this
challenge could stall the market’s potential growth and limit its acceptance as
a reliable transportation mode.
Battery Recycling and Waste
Management
With rising adoption of electric
two-wheelers, concerns over battery disposal and recycling have gained
prominence. Improper disposal of lithium-ion batteries poses environmental and
public health risks. China's existing recycling infrastructure for EV batteries
is still developing, and many smaller operators lack access to formal recycling
systems. The fragmented supply chain complicates traceability and responsible
recycling, while consumers remain largely unaware of proper disposal practices.
Manufacturers face mounting pressure to implement take-back schemes or provide
eco-friendly battery options. Regulatory bodies are beginning to enforce
stricter guidelines, but enforcement varies by region. Waste management systems
are often unable to cope with the volume generated, particularly in
fast-growing cities. Failure to resolve this issue could erode the
environmental credibility of electric two-wheelers, which is one of their
primary selling points. Addressing this challenge requires coordinated efforts
between producers, regulators, and waste management firms to ensure
sustainability throughout the product lifecycle.
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Key
Market Challenges
Traffic Safety Concerns
Rapid expansion in two-wheeler
usage has resulted in increased traffic incidents, raising concerns over road
safety. Many urban centers report a high proportion of traffic accidents
involving motorcycles or scooters, especially due to speeding, non-compliance
with traffic rules, or lack of proper licensing. Inexperienced riders, underage
usage, and informal driving schools compound the issue. While regulatory
efforts have tightened licensing norms, enforcement often lags in smaller towns
and rural zones. The lack of dedicated lanes for two-wheelers and poor road
conditions also heighten risk. Negative public perception stemming from safety
concerns can hinder adoption among cautious consumers. Insurance costs may also
rise, deterring budget-focused users. These safety issues pose a reputational
challenge for the industry and demand long-term investment in rider education,
vehicle safety features, and improved road infrastructure. If unaddressed, this
challenge could stall the market’s potential growth and limit its acceptance as
a reliable transportation mode.
Battery Recycling and Waste
Management
With rising adoption of electric
two-wheelers, concerns over battery disposal and recycling have gained
prominence. Improper disposal of lithium-ion batteries poses environmental and
public health risks. China's existing recycling infrastructure for EV batteries
is still developing, and many smaller operators lack access to formal recycling
systems. The fragmented supply chain complicates traceability and responsible
recycling, while consumers remain largely unaware of proper disposal practices.
Manufacturers face mounting pressure to implement take-back schemes or provide
eco-friendly battery options. Regulatory bodies are beginning to enforce
stricter guidelines, but enforcement varies by region. Waste management systems
are often unable to cope with the volume generated, particularly in
fast-growing cities. Failure to resolve this issue could erode the
environmental credibility of electric two-wheelers, which is one of their
primary selling points. Addressing this challenge requires coordinated efforts
between producers, regulators, and waste management firms to ensure
sustainability throughout the product lifecycle.
Low-Quality Products from
Unregulated Players
The influx of low-cost,
unregulated two-wheeler manufacturers in the Chinese market has led to the
proliferation of substandard products. Many of these offerings do not comply
with national safety, emission, or quality standards, raising reliability and safety
concerns. Consumers purchasing these cheaper alternatives often face issues
like frequent breakdowns, battery malfunctions, or limited after-sales support.
While affordability may attract initial buyers, negative experiences with these
products can erode trust in the broader market. Reputable brands are forced to
compete on price with non-compliant rivals, impacting margins and
disincentivizing R&D investment. Regulatory bodies have initiated
crackdowns and quality audits, but enforcement remains inconsistent, especially
in rural areas or e-commerce platforms. Long-term market health is threatened
by the continued presence of these low-quality products. Establishing stricter
penalties and boosting public awareness on choosing certified two-wheelers are essential
steps toward curbing this challenge and preserving consumer confidence.
Key
Market Trends
Rising Preference for Electric
and Smart Two-Wheelers
Consumers in China are increasingly
opting for electric two-wheelers integrated with smart features such as GPS
tracking, Bluetooth connectivity, remote diagnostics, and mobile app
integration. According to the Ministry of Public Security (MPS), As of late
2024, China had over 145 million registered two-wheelers, of which nearly 72
million were electric (e-bikes and e-motorcycles).
These vehicles appeal to
tech-savvy urban commuters who seek convenience, efficiency, and control. The
adoption of smart battery management systems improves range accuracy and
charging performance, making e-two-wheelers more practical for daily use. As urban
congestion worsens, the demand for intelligent mobility solutions rises.
Younger consumers are also drawn to connected riding experiences, especially in
the context of shared mobility and subscription services. Domestic
manufacturers are investing in innovation, integrating AI and IoT capabilities
into product lines to stay competitive. Fleet operators and logistics firms are
also adopting smart EVs to monitor and manage delivery operations more
effectively. This convergence of electrification and digitization is reshaping
consumer expectations and pushing the market toward intelligent, sustainable,
and user-centric mobility solutions.
Emergence of Battery Swapping
Models
Battery swapping is gaining
momentum as a practical solution to long charging times and limited
infrastructure. Instead of waiting to recharge, users can quickly exchange
depleted batteries for fully charged ones at swap stations. This approach suits
commercial users like food delivery agents, who require minimal downtime.
Battery-as-a-service (BaaS) models also lower the upfront cost of EVs by
separating the battery from the vehicle purchase, making adoption more
accessible. Several cities are piloting dedicated swapping networks, and some
manufacturers are designing vehicles specifically for quick battery
replacement. Standardization of battery size and format is still evolving but
is expected to unlock wider adoption. The trend is gaining support from policymakers
looking to reduce grid pressure and promote clean transport. For the end-user,
it enhances convenience and reduces range anxiety, making electric two-wheelers
more viable for both personal and professional applications in densely
populated areas.
Growth in E-Commerce and
Last-Mile Delivery Demand
The rapid expansion of
e-commerce platforms has created sustained demand for efficient and cost-effective
last-mile delivery solutions. Two-wheelers are ideal for navigating crowded
urban environments, offering agility, lower maintenance costs, and reduced
travel times. Food delivery services, parcel logistics, and ride-hailing apps
increasingly rely on two-wheeler fleets to maintain fast turnaround and
customer satisfaction. This trend has led to the emergence of utility-focused
models with large storage boxes, extended range, and rugged construction. Fleet
operators demand high reliability and low operating costs, driving interest in
electric two-wheelers due to reduced fuel expenses and maintenance
requirements. The shift toward digitized delivery operations also encourages
integration of fleet tracking systems and route optimization tools. As
e-commerce penetration deepens across tiers of Chinese cities, the role of
two-wheelers in logistics will become even more central, creating a strong
aftermarket ecosystem of servicing, spare parts, and accessories tailored to
commercial use.
Customization and
Lifestyle-Oriented Design Trends
Two-wheelers in China are
increasingly becoming lifestyle products, reflecting the personality and
aesthetic preferences of their owners. Custom designs, retro styles,
performance upgrades, and fashion-forward accessories are gaining popularity,
especially among younger and urban riders. Brands are offering a range of
colors, finishes, and modular components to appeal to these consumers. The
trend has extended into online customization platforms where buyers can
virtually build and personalize their bikes before purchase. Social media
influences and rider communities play a significant role in spreading design
trends and encouraging self-expression through mobility. Customization extends
beyond appearance to include ergonomic features, digital dashboards, and audio
integration. This trend enhances customer engagement and brand loyalty while
opening new revenue streams through premium accessories. As two-wheelers evolve
from functional transport to lifestyle statements, manufacturers are adapting
their marketing and design strategies to cater to this emotional and
aspirational shift in consumer behavior.
Focus on Lightweight and
Urban-Commuter Models
Manufacturers are focusing on developing lightweight
two-wheelers tailored for short-distance urban commuting. These models
prioritize ease of maneuverability, compact design, and affordability. They are
especially appealing to students, first-time buyers, and budget-conscious users
who need a practical solution for navigating congested streets. Innovations in
lightweight materials like aluminum alloys and composite plastics help reduce
vehicle weight without compromising durability. Smaller battery packs are often
sufficient for typical city ranges, allowing cost savings and faster charging
times. These models are designed to be low-maintenance, often with simplified
mechanical systems and modular parts for quick servicing. Folding electric
scooters and compact e-mopeds are also gaining ground in micro-mobility. As
cities continue to promote sustainable and space-efficient transport, the trend
toward smaller, lighter two-wheelers is expected to accelerate, offering a
practical mobility solution that aligns with urban infrastructure constraints
and evolving consumer expectations.
Segmental
Insights
Propulsion Insights
The propulsion landscape in
China’s two-wheeler market reflects a dynamic transition between traditional
ICE models and emerging electric alternatives. ICE two-wheelers remain
prevalent in various applications such as rural transport, commercial logistics,
and long-distance travel. Their widespread use is supported by an existing fuel
distribution network, robust mechanics, and user familiarity. The continuous
demand for low-maintenance and high-torque ICE vehicles, especially in
entry-level price segments, maintains their relevance.
Electric two-wheelers are
reshaping urban mobility, with compact scooters and motorcycles serving as
daily commuter options. The use of lithium-ion batteries, improved charging
solutions, and modular architecture is transforming vehicle design and user experience.
These models appeal to a younger demographic seeking environmentally friendly,
quiet, and digitally integrated vehicles. Investment in R&D is fostering
innovation in battery management systems, safety controls, and intelligent ride
modes. As both segments continue to evolve, product portfolios are expanding to
serve varied performance, price, and efficiency needs.

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Region
Insights
The eastern coastal provinces
emerged as the dominant region in China’s two-wheeler market in 2024. This
region features dense urbanization, high purchasing power, and advanced
transportation infrastructure. Cities across the eastern belt exhibit a strong
preference for electric mobility solutions, supported by local manufacturing
hubs and supply chain integration. The presence of major two-wheeler R&D
centers and production facilities accelerates product rollout and access to
innovation.
Cities like Guangzhou and
Shenzhen have seen widespread adoption of both electric and internal combustion
engine (ICE) two-wheelers, particularly for short-distance transportation and
intra-city logistics. This region also benefits from a robust industrial base
that supports local manufacturing and assembly of two-wheelers, lowering
product costs and ensuring rapid availability. The rise in e-commerce and food
delivery services in metropolitan zones has increased demand for commercial
two-wheelers, particularly electric variants. The climate and geography further
support year-round usage, contributing to consistent sales volumes. Regulatory
policies in this region have been comparatively favorable toward electric
vehicle integration, especially with pilot programs for battery-swapping
infrastructure and financial incentives.
Recent
Developments
- In May 2025, Honda unveiled its
first electric motorcycle, the Honda e-VO, in China. Designed for urban
commuting, the e-VO features a sleek design and swappable battery technology.
It represents Honda’s entry into the competitive electric two-wheeler segment
in China. The launch aligns with the company’s broader electrification goals
and growing EV demand in the region.
- In March 2025, Harley-Davidson
has launched its entry-level X350 motorcycle in China, developed in partnership
with Qianjiang Motorcycle. Designed for new riders, the bike features a 353cc
parallel-twin engine and blends Harley’s styling with affordability. The X350
aims to strengthen the brand’s foothold in Asia's mid-displacement segment. An
India launch is expected soon to tap into rising demand from younger consumers.
- In November 2024, Great Wall
Motors (GWM) has officially launched its premium motorcycle brand, Souo,
unveiling the first model, the S2000, a 2.0L V-twin cruiser. The company aims
to expand into the high-end motorcycle segment with a focus on luxury and
performance. GWM's new venture leverages its strong R&D and manufacturing
capabilities. The Souo brand represents the automaker’s ambition to diversify
beyond cars into lifestyle mobility solutions.
- In April 2024, Chinese
motorcycle brand Benda announced plans to launch an eight-cylinder motorcycle,
marking a significant move in the high-performance bike segment. The new model,
expected to feature a V8 engine, aims to compete with premium global
manufacturers. Benda has already showcased concept designs and plans to bring
the production version soon. This step highlights China's growing ambitions in
the high-capacity motorcycle market.
Key
Market Players
- AIMA Technology Co., Ltd.
- Chongqing Yinxiang Motorcycle (Group) Co., Ltd.
- Dongguan Tailing Electric Vehicle Co., Ltd.
- Jiangmen Dachangjiang Group Co., Ltd.
- Lifan Holdings Co., Ltd.
- Loncin Holding Ltd.
- Sundiro Honda Motorcycle Co., Ltd.
- Yadea Group Holdings Ltd.
- Zhejiang Luyuan Electric Vehicle Co., Ltd.
- Zongshen Industrial Group Co., Ltd.
By Vehicle
Type
|
By Propulsion
|
By End
Use
|
By Region
|
|
|
|
- South-Central
- South-West
- East
- North
& Northeast
- North-West
|
Report
Scope:
In this
report, the China Two-Wheeler Market has been
segmented into the following categories, in addition to the industry trends
which have also been detailed below:
·
China Two-Wheeler Market, By Vehicle Type:
o
Motorcycle
o
Scooter/Moped
·
China Two-Wheeler Market, By Propulsion:
o
Internal
Combustion Engine
o
Electric
Vehicles
·
China Two-Wheeler Market, By End Use:
o
Personal
o
Commercial
·
China Two-Wheeler Market, By Region:
o
South-Central
o
South-West
o
East
o
North
& Northeast
o
North-West
Competitive
Landscape
Company
Profiles: Detailed
analysis of the major companies presents in the China Two-Wheeler Market.
Available
Customizations:
China Two-Wheeler
Market report with the given market data, Tech Sci Research offers
customizations according to the company’s specific needs. The following
customization options are available for the report:
Company
Information
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and profiling of additional market players (up to five).
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