Study on bicycle economy: only second-hand bicycles can go up

The German bicycle industry recorded another decline in sales and employment figures in 2025, according to a study released by the think tank T3 Transportation. The report, commissioned by the economic association Zukunft Fahrrad, which represents manufacturers, retailers, and bike service providers, shows that total revenue in the sector dropped to 25 billion euros, 2 billion less than in 2024. The retail segment suffered the largest losses, with sales falling by 10 percent. The services sector also saw a decrease, though smaller, with a 6 percent drop, primarily affecting the promising area of company bike leasing. In contrast, used bicycles showed growth, with the manufacturing sector experiencing a 2 percent decline. Employment numbers in the bicycle industry also declined, with 74,300 people working in production, trade, and services compared to 76,700 in 2024. The trade sector accounted for the majority of jobs, employing 55,600 individuals. Production saw a reduction of 5 percent, with 12,700 workers employed. The services sector remained stable, maintaining its 6,000 workforce. Despite relatively stable consumer demand, businesses faced rising costs due to increased energy prices and supply chain disruptions linked to the Russia-Ukraine war, according to Mareike Schodder, spokesperson for Zukunft Fahrrad. The overstocked warehouses resulting from the bicycle boom during the coronavirus pandemic continued to affect pricing. However, this year marked the first sign of recovery in inventory levels, noted Schodder. While consumers were attracted to lower prices in the short term, long-term stability requires a robust retail and repair infrastructure, she added. Anika Meenken, a traffic expert at the ecological transport club VCD, emphasized the need for such structures to ensure ongoing advice, repairs, and parts availability. The German and European bicycle markets remain under threat from competition in China. Victoria Broßart, a Green Party spokesperson on transportation policy in the Bundestag, suggested that protecting domestic industry would require a customs policy approach. She also called for improved oversight and market monitoring. Only through these measures could Germany maintain its appeal as an economic hub. Since 2022, associations and state transport ministers have been advocating for a so-called “bicycle billion”, one billion euros in funding for cycling infrastructure within the federal budget. This goal has yet to be met, with the government allocating just under 600 million euros for 2026. Since 2024, the funding has come from the Climate and Transformation Fund (KTF), rather than the federal budget, according to Broßart. For 2027, plans include merging funding for cycling with that for pedestrian paths. Safety on the roads remains a critical issue. A study commissioned by the Federal Ministry of Transport revealed that women, children, older adults, and mobility-impaired individuals ride less frequently than before. Meenken called for comprehensive planning that prioritizes the most vulnerable road users. She stressed that making cycling accessible to all requires a shift in how infrastructure is designed and maintained.