China Two-Wheeler Market – Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Vehicle Type (Motorcycle, Scooter/Moped), By Propulsion (ICE, EV), By End Use (Personal, Commercial), By Region, By Competition, 2020-2030F

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.

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.

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

• Detailed analysis and profiling of additional market players (up to five).