Two-Wheeler Suspension Market

Market Overview

The two-wheeled suspension system is described as a system that mainly absorbs vibration, shock, and suspension to make the cyclist as comfortable as possible. It also helps to manage the vehicle, to achieve stability and balance during the braking process. Some of the most important components of the suspension system are dampers, springs, stabilizers, shock absorbers, etc.

The growth of OEM production units in the market for motorcycle suspension systems is bound to boost the worldwide sales of two-wheelers. Lower fuel emissions, higher efficiency, relative affordability, and convenient handling are some of the key factors that have contributed to the world's growing sales of two-wheelers. The expansion of the two-wheeler market is expected to help OEM manufacturers gain more than 50% of the market share of the suspension system.

Another key reason for the significant increase in revenue generated by OEMs is the presence of leading multinational OEM brands in developing countries. Besides, the increase in disposable income per capita of the population in the area increases the demand for high-powered scooters and motorcycles. Over the years, the demand for enhanced safety and comfort in two-wheelers has increased considerably. This is what drives the adoption of electronic technologies in these vehicles.

Besides, suspension systems are shifting from traditional systems to electronic suspension systems in premium motorcycles that can be integrated with other safety features such as ABS and TCS. Furthermore, the high penetration of touring motorcycles in regions such as North America and Europe is expected to boost demand for advanced suspension systems during the forecast period.

OEMs continue to rely on passive suspension systems for two-wheelers due to their simple design and durability. The demand for independent front suspension is still high in the foreseeable future as the system offers several advantages, such as improved handling, steering, curve, and stability while providing increased comfort while riding a bike. Besides, its lightweight components do not add additional weight to the vehicle.

Market Dynamics

Rising Number of Two-Wheeler Activity and Events

To launch new products, motorcycle events, including exhibitions and shows, are an important means of advertising used by OEMs and retailers. These events also inform customers of the various characteristics, models, and options that motorcycles offer. EICMA, for example, is a popular motorcycle show held every year in Milan, Italy, where OEMs showcase their latest 2-wheeler products.

The bike displays motorcycles each year. New sports motorcycles, screwdrivers, coffee racers, Enduro, Motocross, and dual sports are being presented at the exhibition. In the two-wheel sector, the growing number of events and activities is driving growth in the market.

A growing population, high availability, and a changing consumer dynamic will generate a huge demand for the two-wheel-drive over the projected timeframe. A number of the leading players in the two-wheel industry are implementing a targeted product launch strategy in the search for additional results. Over the next few years, increased competition and increased customer affordability will boost two-wheeler production to boost industry growth. 

Increasing Popularity of Luxury Vehicle to Spur the Demand in Global Market

Hybrid-electric vehicles (HEVs) boost global market growth by increasing the application of strict environmental regulations and emission control measures. The percentage of electric and hybrid cars on the market is already rising in the production figures. The figures are expected to increase soon, with both car suppliers and businesses looking for sustainable solutions that drive the hybrid and electric car market, boosting global demand for dual suspensions.

Industrialization, urbanization, and economic growth are driving the growing global demand for cars, which in turn accelerates the demand for two-wheeler suspensions. Improving the availability of revenue forces investors to spend more on the automotive sector.

Increasing Prices of Gasoline and Fuel Worldwide

The price of gasoline and fuel worldwide has shown an upward trend. As a result, consumers have increased the cost of maintenance of vehicles, leading to cheaper alternatives. This results in a steady decline in two-wheel ownership. Besides, two-wheelers offer two times the kilometers of a typical car, allowing owners to save considerable costs. On average, a motorcycle produces between 43 and 56 miles of petrol, which exceeds even the most fuel-efficient cars.

Manufacturers are capitalizing on this trend to implement fuel-efficient suspension systems. For example, the BMW F 750 GS engines have a 4-hour, two-cylinder, water-cooled engine that helps to achieve a maximum speed of 118 miles per gallon.  This forecast period is significantly affected by the increase in the strength of the semi-active suspension system and the replacement of the traditional telescopic suspension with a mono-shock suspension.

Segmental Analysis

Growing Inclination towards Rear Monoshock Suspension

Mono-shock rear suspension systems are probably the most popular type of product due to their high maneuverability and stability compared to double shock suspensions. A single shock rear is equipped with nearly six of the 10 two-run suspension systems.

Furthermore, the adoption of relatively lightweight semi-active/active suspension systems is estimated to be higher in advanced regions, such as North America and Europe, as a result of increasing emission constraints and fuel efficiency regulations in developed regions. Instead of passive suspension, the growth of semi-active/active systems is projected for Europe and North America, as new technologies in these regional systems are open to manufacturers and customers. The semi-active and active suspension system is projected to grow moderately in the regions of Asia Oceania and RoW, as consumers prefer compact and economical vehicles in these regions.

In 2019, the Hero Motocorp launched its Xpulse 200 motorcycle on the Indian market and equipped it with a 200cc engine and a 10-step adjustable mono-shock with a 170 mm rear suspension and a 190 mm telescopic front suspension.

Sunglass Based on Application Is Projected to Dominate the Market

In terms of application, the windshield segment will grow most rapidly over the forecast period. Future cars need to meet strict emission requirements, and the best way to do this is to reduce accidental damage with exciting technology. The increase in production and passenger demand is much higher than in the previous period, increasing consumption due to improved visibility properties, improving the vehicle's center of gravity, and having a positive impact on acceleration, braking performance, and increased fuel economy opportunities in the automotive glass market.

Besides, sunroof is the largest and fastest-growing smart glass application on the automotive smart glass market. It enables the user to control the natural light in the vehicle more effectively. Daimler and Mercedes-Benz models such as the SL and SLK series use smart sunroof glass technology. Technology advances, the presence of industry stakeholders, and the high demand for energy-efficient products also play an important role in smart glass roofing markets.

On the Basis of End-Use, OEM Will Dominate the Market throughout the Forecast Period

OEM dominated the market in volume in 2019, with most of the two-wheeler suspension used in the production of vehicles. The aftermarket segment is driven by factors such as the high utilization of old vehicles, the need to repair and upgrade trucks, and the increasing number of road accidents.

With 60 to 70 % of the market share among the leading players, suspension systems for motorcycles are still well established. To benefit the competitors in their two-wheeler suspension system, firms continue to focus on the introduction of innovative products. Besides, due to several profitable opportunities in the area, leading players are working to expand their market participation in the aftermarket, particularly in the southeast Asian region.

Another strategy for expanding the market presence of their motorcycle suspension system companies is to expand their services globally to benefit from increasing requirements for motorcycles. Manufacturers in India, for example, are planning to increase exports to Australia, Europe, and North America to increase the demand for suspension systems in these regions.

Impact of covid-19

With the COVID-19 outbreak, industries have to deal with the overall impact on their business of COVID-19. The manufacturing sector has been worst hit with the current pandemic situation as manufacturers of non-essential goods, including automotive, have shut down their manufacturing facilities in complying with the government norms for lockdown. As a result, major retrofits have occurred due to insufficient stock in allied markets such as spare parts, suspension systems, amortizes, and braking systems.

Luckily, operating stability has been recorded over the last few months, with governments removing most restrictions to allow car manufacturers to resume production. They examine other travel options to prevent individuals from using public transport because they are not concerned with differences in welfare. As a result, sales of motorcycles have increased in recent months. Rising demand of electric vehicle, various subsidy by government to buy an electric vehicle is going to provide lucrative opportunities for the market players over the coming years.

Regional Analysis

APAC will hold the largest market share in the forecast period. High sales of low-power and affordable motorcycles are one of the main reasons for the high growth in the sector of the two-wheel suspension system market. In developing countries like India, this growth is mainly due to the increasing ownership of two-wheelers. Due to the favorable investment climate, the presence of different manufacturers in these countries is anticipated to support growth.

In 2019, the size of the North American two-wheeler suspension market amounted to USD 119.5 million and was down to USD 112.1 million due to COVID-19. Although slow, the outlook for growth in the post-pandemic scenario will rebound.

Motorcycle sales in the US decreased by more than 15% as of August 2020, as consumer social distances were increasingly taken to stem the spread of the pandemic. Luckily, the restrictions slowly rebounded in the second half.

Recent Developments

• In May 2020, ZF Friedrichshafen AG completed the acquisition of WABCO, intending to develop a customer-focused vehicle technology power plant. WABCO is expected to function as an independent division within the company.

Two-Wheeler Suspension Market Segmentation

APAC 

• Front Telescopic Suspension
• Spring Loaded Hydraulic Suspension
• Others

By Application

• OEM
• Aftermarket

By Region

• North America
• Europe
• Asia-Pacific
• SAMEA