2021-2022 Bike Production Lead Times at All-Time High

Back in July, we shared about how the bike manufacturing industry experiencing sharp increases in production lead times due to strains on the global supply chain from COVID-19. The rip currents from this disruption is still affecting certain areas of bike production, however bike manufacturing power houses such as Taiwan, China, and Vietnam are already back on their feet thanks to the exceptional control of COVID-19 locally.

The main cause of why production lead times are now at an all-time high is simply due to sheer demand. Popularity of bicycles and electric e-bikes from both the USA and Europe, due in part because of COVID-19, are driving longer lead times. Complete bikes, frames, and components have lead times that are as long as 12-15 months. Most manufacturers are already over capacity for the 2021 model year.

Since July, Oerus has been advising clients to begin planning out product development, production schedules, and forecasts. Based on current lead time projection in 2021, it will be important to continue doing so for the 2022 model year. Key pointers here are to wrap up development of any new projects by mid-2021 and provide 2022 forecasts for frames and bicycles now. Manufacturers need to work with their own supply chain to secure materials as well. Seek updates from your supply chain on a weekly basis for any changes in lead times from key suppliers.