Delivery delays in bicycle components: the solution?
An important financial news service has announced a multimillion investment programme of Shimano Inc. The plan entails both the expansion of the existing factories and the building of a brand new manufacturing plant in order to overcome the actual components delivery delays that are affecting the whole bicycle market.
Shimano is a Japanese multinational of cycling components. Today, its worldwide marketshare is estimated between 70% and 80% by value and its top continent for net sales is Europe (38% of total revenues).
Shimano established as a leading cycling component manufacturer in the '80s, after that the USA bike boom of the '70 could not be fullfilled by the european firms, which at that time were traditionally and technologically the top in the world.
Soon, the Japanese company became a steady presence in the market, due to the reliability and innovation of its components such as chainrings, derailleurs, brakes, pedals and groupsets as a whole. Many of the Shimano products are recognized by any cycling amateur as a new technological dawn: AX Dura-Ace groupset, clipless pedal, MTB Dual Control, up to the most modern e-Bikes components.
The Shimano investment plan
JPY 20 billion (roughly 153m Euros) will be invested in a new factory plant in Singapore and 99 million Euros will be destined to enlarge the Nippon factories. The investment plan is an effective reply to those ones who have recently criticised the Japanese group for not investing enough in additional production capacity in the COVID-19 panedmic era.
Interviewed by the financial service, the President Taizo Shimano has said that such an investment on the existing factories will improve efficiency and be used for “cutting-edge manufacturing equipment and software”. Also, the new factory in Singapore will be a stronghold in the future technology of digitalisation of components for high-end bicycles.
All cycling fans have big expectactions after this news: we can't wait to see the next hi-tech Shimano products on the market and we are certain that such large investment will help the bicyle market to be more competitive, to have a bigger range of products and to see the e-Bike philosophy furtherly expanded in the world.
If you want to know the latest news in the cycling world you will find a lot of related articles here. Also, remember that on EurekaBike! You have the largest marketplace of bicycles of all types and best components at a competitive price such as Shimano, Campagnolo and Sram