Taiwan's ATV makers eyeing lucrative global market

Taipei, Sept. 27, 2004 (CENS)--The double-digit growth in demand from the European market is attracting more and more Taiwan all terrain vehicle (ATV) makers to tap the lucrative market.

Sanyang Industry Co., Ltd. (SYM) recently developed two new ATV models, the 200cc Track Runner and 250cc Quad Lander, and decided to debut them on the company's 50th anniversary next month.

SYM will face competition from strong Taiwanese players in the ATV arena, including Kwang Yang Motor Co., Ltd. (KYMCO), Her Chee Industrial Co., Ltd. (Adly), Amstrong Industry Corp. and Tailing Motor Co. Ltd., which all demonstrated their latest powered two-wheeler (PTW) and ATV models at the just-ended Munich motorcycle show in Germany.

A local ATV maker said that there were only Her Chee and Tailing producing ATVs several years ago, but the rising global demand has driven more and more local makers to follow suit, making Taiwan a global production base for such a transportation vehicle.

Yamaha Motor Taiwan Co. (Yamaha Tawian), though not participating in the Munich show, is striving to produce the 250cc ATV engines in Taiwan for exports to the U.S. market. Tailing is also negotiating with its Japanese partner Suzuki for introducing over-150cc ATV models for local production and exports to the U.S. and Europe.

KYMCO spokesman Chen Fu-an claimed that his company's ATV and big engine-displacement scooter products have successfully penetrated the European market. At the Munich show, the Taiwan company demonstrated its latest 250cc ATV model in utility, recreation and racing versions.

KYMCO has established its PTW and ATV sales channels in Europe and recently defeated Her Chee as the largest ATV producer in Taiwan. KYMCO expects to produce over-100,000 ATVs next year and plans to expand its ATV R&D center in the fourth quarter.

At the PTW show, Her Chee displayed its Adly-brand ATVs equipped with 150cc and 300cc engines in a bid to win orders for next year. The company plans to invest over NT$200 million (US$5.88 million at US$1: NT$34) to set up a new ATV plant and further expand its capacity.

Taiwan's Major ATV Makers
Company	Own/OEM Brand	Jan.-Aug. Production	New Product
Kwang Yang	KYMCO	40,852	250cc and 500cc ATVs
Her Chee	Adly	27,200	Over-300cc ATVs
Sanyang	SYM		Over-250cc ATVs
Tailing	Suzuki	over 10,000	150cc ATVs

Soruce: The companies