Bicycle industry faces downturn after pandemic-era boom

The global bicycle industry is facing a significant downturn following a massive boom triggered by the COVID-19 pandemic. During the pandemic, lockdowns, gym closures, and a preference for outdoor activities drove demand to unprecedented levels. In Europe, sales reached approximately 22 million units in 2020, with the market value growing by 40% to roughly 18.3 billion euros.

To combat supply chain disruptions and component shortages, manufacturers and retailers placed massive orders to ensure future stock. However, because bicycle production requires long-term planning, these large shipments arrived just as consumer behavior shifted. As travel, dining, and gyms reopened, alongside rising inflation and interest rates, demand normalized, leaving the industry with excessive inventory and overextended capacity.