Business news
Unfaltering demand
Following a significant bounce-back in registrations during April, data published by the Motorcycle Industry Association shows that registrations grew significantly again in May compared to last year, by 149.2% HOWEVER, THE UK WAS IN TOTAL lockdown last year, with dealers closed. Therefore, significant growth was inevitable. Comparing May 2021 registrations with May 2019’s pre-pandemic total, there was still impressive growth of 23.1%. It will be interesting to see how June’s registrations compare to last year, bearing in mind that dealers reopening across the UK in June 2020 following Lockdown-1, with the market experiencing an impressive bounce back.
NEW MOTORCYCLE MARKET Two months have now passed since dealers began reopening across the UK as Lockdown-3 restrictions eased and demand has remained buoyant with little sign of the market slowing down. However, as in recent months, stock supply of new machines remains an issue for many dealers, with deliveries now expected in July, August, and September, following original Engine band highest registered models May 2021 Power Band
0-50cc 51-125cc 126-650cc 651-1000cc Over 1000cc
Model
Vmoto Super Soco CPX Yamaha NMAX 125 Royal Enfield Interceptor Int 650 Triumph Trident Multiple items Data courtesy of the MCIA
lead times of March, therefore crucial periods of the season have been missed. Since its launch, the Triumph Trident has been in strong demand and the Yamaha Tracer 900 GT is also proving to be a popular machine. However, as with recent months, demand remains strong across the board.
WHAT CAN THE INDUSTRY EXPECT MOVING FORWARD?
Some dealers have reported selling in excess of 60 new and used machines (combined) per month, which underlines just how strong current demand is.
STOCK Stock shortages continue to be the main challenge for the industry with little sign that will improve anytime soon. In addition, long lead times for new machines are delaying part-exchanges and while some dealers took some in early, they have now sold. As a result, competition within auction channels remains very high, with strong hammer prices.
Stock shortages continue to be the main challenge for the industry with little sign that will improve anytime soon
With demand showing little sign of slowing down, the outlook is optimistic. However, stock supply is likely to prevent the 2021 season from being as strong as it could have been. Hopefully, stock issues will ease in time for the 2022 season. However, as has been the case since the start of the Covid-19 pandemic, caution is advised as the near future remains uncertain, with potential economic challenges hindering consumer spending.
USED MOTORCYCLE FEEDBACK The market for used machines is showing little sign of slowing down either. Low availability and long lead times for new machines will likely boost used demand even further throughout the summer. Demand is strong across the board with Triumph and Japanese brands particularly sought after. As has been the trend in recent years, sports machines are the least popular but a market for them still remains.
RIDING CONDITIONS
May was a cool and wet month, with late spring sunshine in short supply. However, the weather in the early weeks of June has vastly improved with predominantly warm and sunny days, making for fine riding conditions once again as summer solstice nears. Taking into consideration ongoing strong market activity and stock shortages, values have been moderately increased across most sectors in Glass’s July edition, except where trade feedback or evidence from the marketplace indicated models required specific adjustments. Paul McDonald Leisure Vehicles Editor
Bioethanol increase
T
he standard petrol grade in the UK will become E this summer. Currently, UK petrol is E, meaning it contains up to % bioethanol. E petrol will see the amount of bioethanol increase to %. Most motorcycles and petrol cars manufactured after are E compatible, says the DVLA. However,
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JULY 2021
around % of vehicles made before will need to continue to use E petrol which will remain available as the super grade petrol option at the pumps. Continued use of E in an incompatible vehicle could damage engine parts, the DVLA says. If in doubt, use the online checker at: www.gov.uk/check-vehicle-e-petrol.
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