SHANGHAI, China—Despite air traffic problems in Europe due to volcanic ash that forced the delay of some European company executives, the Shanghai show enjoyed strong turnout with exhibitors representing thousands of factories from China and Taiwan.

The April 27-30 show was considerably bigger than the Taipei Show held a month earlier, but focused on mass- produced lower-end bicycles and parts. Taking center stage were electric bikes. Attendees had the opportunity to test ride the e-bike President Obama was presented with on his last visit to China.

The e-bike category has seen amazing growth over the last few years and it is one of China’s most competitive indus- tries as evidenced by a hall allocated to the category. The Chinese e-bike indus- try boasts a volume of more than 20 mil- lion units a year.

Chinese e-bike exports are on a steep growth curve, especially in the United States. Within a short period of time, electric bikes have grown to become a global industry worth over $11 billion.

Attracting quite a bit of attention was this Harley Davidson-style bike made by Chinese company Dijiya

Also propelling the bike industry in China is a cycling-for-leisure explosion. The Chinese have more disposable income and are developing an interest in traveling to explore their country. This is evident in the proliferation of cycling events throughout China such as the recent Yellow Mountain (Huangshan) MTB event with more than 500 competitors. With the increase in cycling events comes the demand for higher-end bikes. Fueling the growth of bike events in China is an ever-increasing middle class population. And the Beijing Olympic Games has further inspired the Chinese to participate in more sporting events. Also stimulating demand for bicycles is the need for environmental conservation and energy savings. Domestic sales aside, with a great deal of manufacturing taking place in China, the fluctuation of its currency has a direct impact on product pricing. A large number of buyers from around the world could be placing their orders now to stock up their inventories for later in the year given the pending revaluation of the Chinese RMB. Not only will the revaluation impact prices, but China’s current labor crisis is contributing to wage increases that will have an impact on the bicycle industry worldwide. “Raising the value of the Chinese yuan will affect the cost of bikes and bike products as most brands outsource from China,” said Eric Koh, director of Specialized Bicycles China. “Apart from labor costs, which have been increas- ing regardless of the exchange, material costs would also affect the final cost.”

These factors could result in a price increase of nearly 40 percent for companies sourcing bike parts from China. Combined with longer lead times, this may encourage a number of international companies to outsource their products to other low-labor cost countries. Still, China is a growing market where global companies need to channel their energies with their marketing strategies. With the Chinese earning more and seeking out leisure activities including cycling, they will become discerning buyers of higher-end bicycles and parts.

President Obama's E-Bike

Kevin Klein celebrating Rashaan Bahati's 2008 USPRO win

Published on Cycling News: www.cyclingnews.com

The Yahoo! Cycling Team was officially announced today in California and boasts a 12-rider squad that is ready to take on the heavy hitters of US domestic team racing. The team will debut at the Napa Valley Cherry and Apple Pie Criteriums that will be staged on February 6 and 7.

Led by General Manager Kevin Klein, The Yahoo! Cycling mixes young talent and experienced older riders. “We have a bunch of really talented young riders that all have great cycling careers ahead of them.” The team is a partnership between Yahoo! and Ikeman Cycling, LLC.

“We’re excited to launch this team in a community that is as enthusiastic about cycling as we are,” said Klein. “Both our young riders and experienced cyclists are eager to get our season under way and establish ourselves as a dominant elite team.”

When asked who will be the key rider on the team, Klein replied, “We have a mix of strong lead guys that can all get the job done. We won’t play the same cards over and over. Other teams will need to pay attention to understand how we roll.”

Kevin Klein on far left coming in 3rd in a race won by Bahati

“When we go into the races, we plan to win, always win,” said Klein.

One key rider in the team includes Evan Huffman, a current junior national champion and an Under 23 national team member. The squad’s Adam Switters and Philip Mooney are team time trial national champions, and Ryan Parnes is the 2009 Californian State Criterium Champ.

Two-time Olympian Dirk Copeland is another notable member of the Yahoo! Team. He currently works for Yahoo! as a manager, a role in which he assists in a variety of projects for the development of Yahoo! “I am very excited to be part of this team and hope to contribute to the program’s development by offering leadership, from the bike, during the races,” said Copeland.

The team’s training camp will be held in San Luis Obispo, on January 29-31, and its racing season will begin the following weekend in Northern California.

Based in Northern California, the team plans to race the majority of its season on the West Coast as well as a portion of the National Racing Calendar (NRC). Dependent upon its success in the US circuit in 2010, the team plans to move on to Continental Status in 2011.

With the creation of the team, Yahoo! plans to cultivate its cycling offerings for both its audience, online and offline, and its own internal cycling team, the Yahoo! Amateur Cycling Team.

“We’re especially eager about the formation of this team with Ikeman Cycling because not only are there a number of cycling enthusiasts among our audience, but also a large number within our own Yahoo! ranks,” said Barbara O’Connor, Vice President of Global Consumer Marketing at Yahoo!. “The team provides us with an opportunity to create a touchpoint with our audience both on and off the web and also to connect with and engage the passionate community of cycling enthusiasts.”

2010 Yahoo! Cycling Team
Adam Switters
Brian Bosch
Dirk Copeland
Evan Huffman
Filip Vanacht
John Wilk
Kevin Klein
Patrick Briggs
Philip Mooney
Ryan Parnes
Tyler Dibble
Vince Owens

Visit the team’s website at cyclingteam.yahoo.com.