Giant feels the chill from falling demand.

[Cycleops]

Giant has postponed payments to supplies due to lower demand but insists their financial position is still strong.
https://road.cc/content/news/giant-postpones-payments-suppliers-298285
Could this herald a downturn in the fortunes of other manufacturers as global demand slows?

 

[Peter Salt]

The fact to the matter is that all 'known-brand' bikes are currently overpriced. All of them. Same story with groupsets and other componentry. Something has to give.

 

[DCLane]

The aspect of excess stock has been in the news quite a bit recently, so this doesn't surprise me. 2020 led to a boom in demand, suppliers couldn't meet it so over-produced in 2021 and then in 2022 expected the boom to continue. But it hasn't; most of those who wanted a bike now have one and it's only us enthusiasts/oddities that will buy more.

Hence an over-supply, manufacturers struggling to shift stock and delayed supplier payments.

Expect to see brands struggle, possibly collapse/merge/disappear in 2023-2025.

 

[Cycleops]

That may well be the case Peter but it comes to something when the world's largest producer of bikes has to suspend payments.
I'm sure this will filter down to component makers

 

[Slick]

Giant has postponed payments to supplies due to lower demand but insists their financial position is still strong.
https://road.cc/content/news/giant-postpones-payments-suppliers-298285
Could this herald a downturn in the fortunes of other manufacturers as global demand slows?

Postpone payments but still insist they are in a strong financial position.

Are you, aye?

 

[Slick]

In my experience, it only means one thing, the end. Although they will deny it with every fibre of their being, because that's what's expected from them. Curtains, unfortunately.

 

[gzoom]

The fact to the matter is that all 'known-brand' bikes are currently overpriced. All of them. Same story with groupsets and other componentry. Something has to give.

Having just dropped a decent amount of coin on a new bike, I have to say Giant as a brand never once even made it on the shortlist. The market is heading very firmly towards the eBike/innovation end of the market. I've just been on to the Giant website, and their eBike 'range' resembles something I would expect to see in 2010 not 2022.

Forget details on specs etc, just look at this thing....It looks as appealing to ride as a supermarket mobility scooter.

Where as everyone else is coming up stuff like this for the same price.........So why would I (or anyone else) buy a Giant eBike over these other bikes??

 

[classic33]

Local Giant shop closed up, and cleared out, this year.

Previously Pedalsport.

 

[All uphill]

Oh ! Discounted bikes again soon!

I'd have loved there to have been a cycling revolution, but bargain bikes will ease my disappointment!

 

[I like Skol]

Does this mean we will soon be able to buy reasonably priced brake pads, tyres and chains again?

 

[Moodyman]

Having just dropped a decent amount of coin on a new bike, I have to say Giant as a brand never once even made it on the shortlist. The market is heading very firmly towards the eBike/innovation end of the market. I've just been on to the Giant website, and their eBike 'range' resembles something I would expect to see in 2010 not 2022.

Forget details on specs etc, just look at this thing....It looks as appealing to ride as a supermarket mobility scooter.

View attachment 672582

Where as everyone else is coming up stuff like this for the same price.........So why would I (or anyone else) buy a Giant eBike over these other bikes??

View attachment 672584

View attachment 672585

View attachment 672586

To my untrained eye…the Giant bike looks like the other bikes, barring the colour.

 

[Peter Salt]

Having just dropped a decent amount of coin on a new bike, I have to say Giant as a brand never once even made it on the shortlist. The market is heading very firmly towards the eBike/innovation end of the market. I've just been on to the Giant website, and their eBike 'range' resembles something I would expect to see in 2010 not 2022.

Forget details on specs etc, just look at this thing....It looks as appealing to ride as a supermarket mobility scooter.

View attachment 672582

Where as everyone else is coming up stuff like this for the same price.........So why would I (or anyone else) buy a Giant eBike over these other bikes??

View attachment 672584

View attachment 672585

View attachment 672586

I'm sorry but this really made me laugh. You posted pictures of several bikes - no technical specs, prices, etc. and somehow that proves something? I don't want to know what you bought if you only care about looks

As others, including the OP, pointed out: Giant is the world's largest bicycle designer and manufacturer. They are also the biggest e-bikes seller in the world amongst bike brands. In a sense, it's no surprise that they're the first to feel a real pinch - though several smaller businesses, like of Pinarello, are also on track to change hands - mainly because last year inflated their value. In that sense this is, indeed, very significant news and will send ripples throughout the industry.

 

[Big John]

I have no working knowledge of insolvency rules in Taiwan but in the UK if you break your payment terms with suppliers you run the risk of pretty serious consequences e.g. suppliers are within their rights to withhold supplies, the smaller ones who desperately need the money will take court action to recover their debts and the hard liners will even start winding up proceedings. Whichever way you paint it it's not good news. What's more worrying is the political posturing that's currently going on between Taiwan and China. I'm not clever enough to predict the future but it's worth us all keeping an eye on any developments. Apparently Giant manufacture bikes for a number of brands so they'll be watching it all very closely too. I've got enough bikes to last me till I croak it so I'm not overly concerned but it's interesting all the same.

 

[notmyrealnamebutclose]

Imagine if you are flying along on your own steam on your top spec rd racing thorough bred 5k super bike and
an (no offence) old man on a rr e-bike goes wizzing straight by you as if you wasn't there!!!

 

[ColinJ]

Imagine if you are flying along on your own steam on your top spec rd racing thorough bred 5k super bike and
an (no offence) old man on a rr e-bike goes wizzing straight by you as if you wasn't there!!!

It wouldn't happen with a UK-legal e-bike! Up a steep hill, yes, but then you wouldn't be flying along in the first place...

Almost anybody can ride faster than an e-bike's 25 kph assistance limit on the flat or downhill.