Archive for the ‘China’ Category

Business Seminar Helps Chinese Manufacturers

February 21, 2011

Panelists’ Message: U.S. Consumers Want Quality and Value

INDIANAPOLIS (Feb. 21, 2011)— Chinese manufacturers Sunday received several tips on how to successfully sell powersports vehicles and equipment in the United States. The seminar here was put on by the Motorcycle Industry Council (MIC) and Advanstar Communications for Chinese exhibitors before a packed house at this year’s Dealer Expo.

Attendees heard from government and industry experts about what it takes to successfully sell powersports equipment in the U.S. market. Presenters included representatives of Sargent’s Motorsports Groups, the Consumer Product Safety Commission and Dealernews magazine. The program, entitled, How To Successfully Sell Powersports Vehicles in the United States, was moderated by Paul Vitrano, executive vice president of the Specialty Vehicle Institute of America (SVIA).

The key messages delivered by panelists were:

  • QUALITY PAYS. Attendees were told that American consumers value quality over cost and that they are willing to pay more for a better product.
  • OBEY THE RULES. Panelists, especially representatives of the CPSC, emphasized the importance of following U.S. government rules and regulations. “Government agencies balance their responsibilities of helping businesses with protecting consumers,” Vitrano said, “and they lean toward protecting consumers.” Penalties for breaking the rules are stiff and expensive, attendees were told.

Joe Delmont, contributing editor for Dealernews, told the audience that it’s important to build a brand, not simply try to export products to the U.S. under many different names to be sold by many different distributors. “That’s a prescription for failure,” he said.

Delmont, who provided a checklist of things to consider in looking at the U.S. market, told the audience that to gain 5% market share in a specific segment for a new China brand might take three years and cost as much as $300 million.

CPSC representatives Tanya Topka and Justin Jirgl described in detail the process of working with the agency that has been set up under the 2008 Consumer Product Safety Improvement Act (CPSIA). A key regulation developed by the CPSC under the law calls for action plans to be approved by the agency before a company’s ATVs may be sold in the U.S.

Gary Sargent, Sr., and Gary Sargent, Jr., have been selling and servicing powersports equipment in their Portland, OR. dealership for more than seven years. They emphasized the importance of building quality machines and backing them with quality parts.

Gary Jr., who runs the dealership’s service operation, told attendees that he prefers to use more expensive, quality parts on a repair job and be confident that it won’t fail.

“I want satisfied customers,” he said, “not unhappy customers who come back because a part failed.”   JD

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Italian Motorcycle/ATV Show Opens in China

June 10, 2010

Friday is Kick-Off Day in Beijing, China, for an innovative new international motorcycle and ATV show and conference driven by—hold on here— the Italian motorcycle industry. “EICMA China—The Motorcycle Show,” runs Friday through Sunday, June 13,2010. It’s the first ever show for EICMA outside of Italy. EICMA is best known for putting on the the world’s largest motorcycle show every November in Milano, Italy, when several hundred thousand consumers and trade representatives walk the floors looking at the latest machines and accessories.

The trade fair and conference being held at the National Agricultural Exhibition Centre of Beijing is an alliance of EICMA and two major Chinese partners: the Chinese Chamber of Commerce for Motorcycle (CCCM) and Genertec Advertising& Exhibition Co.Ltd. The goals of the event are to show foreign products to the Chinese market and to bring together representatives of several countries to discuss powersports issues relating to motorcycles and ATVs.

On the motorcycle side, the 6.5 hour China International Motorcycle Industry Summit will focus on emissions and on building the Chinese market for motorcycles. A motorcycle ban was instituted in Beijing in 1985 and expanded has been expanded to more than 170 cities in China. It’s estimated that the ban reduced sales by 4 million units annually.

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Goldenvale Executives Admit Fraud

May 7, 2010

Two top executives of Goldenvale, Inc., one of the leading us importers of Chinese ATVs and other powersports equipment, reportedly have admitted falsifying emissions data on some of their motorcycles and ATVs but didn’t get any jail time as part of a plea bargaining deal.

Goldenvale owner Kening N. Ma to four counts of grand theft and Shirley Hyunae Ji, Goldenvale vice president,pleaded no contest to one count of grand theft, according to dailybulletin.com. The pair are scheduled to be sentenced to three years probation on July 20.

The two were arrested in March as reported by Dealernews. The executives of the company based in Ontario, Calif., were charged in a 70-count complaint with using fake certificates issued by the California Resources Board (CARB), among other offenses.

Goldenvale, which also operates a facility in Dallas, imports ATVs, dirtbikes, scooters and karts. The equipment was sold through a dealer network under the Roketa brand. JD

Contact me with news tips and story ideas
at jdelmont@dealernews.com or 952/893-6876.

Proposed Rules Could Severely Restrict UTV Use

March 4, 2010

We have until March 15 to comment on these
CPSC rules that could virtually ban UTVs.

Have you commented yet? If not, you should.

Here are the details.

The CPSC’s proposed mandatory standards spell out how off-road vehicles must be designed, manufactured and used by riders. Meanwhile, at the same time that the CPSC is pushing its rules, the industry has been developing its own voluntary standards.

Paul Vitrano

If you think government mandated standards will benefit our industry, then you don’t have to do anything. If, however, you think perhaps the industry can produce more effective standards, now is the time to step up and make your thoughts known.

A unit of the MIC, the Recreational Off-Highway Vehicle Association (ROHVA), has created new tools for riders and dealers to easily submit comments. You can do it at http://www.rohva.org/anpr.

The sample letters urge CPSC to work with ROHVA to implement voluntary standards and to promote the safety rules for ROVs, also called SXS or UTV units. The page also contains explanations of ROHVA’s position on ROV standards and links to important documents.

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MIC Promotes Use of Off-Road Vehicles in China

March 2, 2010

Participates In Italian-Chinese Trade Show Talks

When representatives of the Italian motorcycle industry announced last November that they intended to launch a major motorcycle show in  China, this year, it caught the attention of Tim Buche, head of the Motorcycle Industry Council (MIC), the U.S. association of motorcycle, ATV and scooter manufacturers.

“I suggested that there was good value in the MIC facilitating a dialogue on the evolving market for ATVs and similar products in China while I was at the EICMA show last November,” Buche told me last evening. Constantino Ruggiero, managing director of EICMA, agreed. And so the Americans began playing a significant role in putting together this year’s show in China.

EICMA is the huge annual motorcycle show held in Milano, Italy. EICMA is owned and operated by the Italian trade association of motorcycle and bicycle manufacturers and producers of aftermarket parts and accessories (ANCMA). It was founded in 1920 and has more than 170 members. For more information on ANCMA, click here.

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