E-Bikes Are Taking a Bigger Share of Bicycle-Industry Growth in the U.S. — But Not in the Way Many People Think

By Leo Liang
Leo Liang works in international e-bike sales and sourcing, with a focus on product positioning, buyer-side evaluation, and practical use-case analysis for overseas markets.

The headline sounds familiar by now: e-bikes are becoming one of the strongest growth engines in the U.S. bicycle industry. That is true, but it is also incomplete. The more useful story is underneath the headline. Growth is real, yet it is not evenly distributed across channels, price bands, rider segments, or service expectations.

According to PeopleForBikes, Circana data showed that e-bikes contributed 63% of the growth in dollar sales of all bicycles between 2019 and 2023, while representing 20% of dollar sales and only 4% of unit sales in the measured market in 2023. That one sentence explains the entire market tension: e-bikes are powerful in revenue terms, but they are still a small part of total bike volume. (PeopleForBikes)

As someone working in international e-bike sales and sourcing, I am naturally biased toward the category. I see how buyers react when they test a practical commuter e-bike for the first time. I also see how quickly weak products, weak batteries, poor after-sales support, and unclear positioning can destroy confidence. So my view is not that “e-bikes will replace bicycles.” My view is more practical: e-bikes are becoming the most commercially important part of the bicycle market, but only for companies that understand where the demand is actually coming from.

What the Growth Numbers Actually Mean

Market-growth numbers can be misleading if we read them like a victory slogan.

The U.S. bicycle market has two different stories happening at the same time. On one side, more people are riding. PeopleForBikes reported that 112 million Americans, or 35% of people aged three and older, rode a bike at least once in 2024, the highest participation level since its study began in 2014. Youth participation also increased from 49% to 56%. (PeopleForBikes)

That is good news. But participation is not the same as high-value purchasing. A casual rider who rides a few times a year does not behave like a commuter, a delivery rider, or an enthusiast buying accessories every month. This matters because the bicycle industry often confuses “more people riding” with “more people buying premium bikes.”

The e-bike category sits in the middle of this contradiction. It attracts new riders because it reduces effort, flattens hills, shortens commutes, and makes cycling feel less intimidating. But the buyer base is split. Some customers want a serious transportation tool. Some want a weekend cruiser. Some want a cheap online bike that looks powerful. Some want a certified, dealer-supported product that will not become a battery problem six months later.

This is why e-bike growth should not be treated as one single market. It is several markets hiding under one label.

Pricing Is Splitting the Market

The U.S. e-bike market is being pulled in two directions.

At the top, premium e-bikes are becoming more refined. These products usually focus on lighter frames, better torque sensors, hydraulic brakes, integrated batteries, branded motors, cleaner displays, better warranties, and dealer support. They are not just selling “electric power.” They are selling trust.

At the bottom, low-priced e-bikes are attracting a much larger pool of budget-sensitive buyers. These buyers may not care about Bosch versus Bafang, torque sensor versus cadence sensor, or UL 2849 versus a generic battery label. They care about range, speed, price, delivery time, and whether the bike looks strong in product photos.

This price split is not unusual. It happens in phones, tools, motorcycles, and consumer electronics. The danger is that e-bikes are not simple consumer electronics. A poor e-bike is still a moving vehicle with a lithium-ion battery, brakes, wiring, and structural loads. The cheaper the product gets, the more important the hidden engineering becomes.

That is why I do not think “cheap” is automatically bad. A well-designed affordable e-bike can be a strong product. But a cheap e-bike with no battery certification, weak braking, no spare parts plan, and no service channel is not a bargain. It is future customer support debt.

This is especially relevant as U.S. tariffs and trade rules keep changing. PeopleForBikes noted in its 2025 tariff update that electric bicycles from China faced a combined duty environment that created heavy cost pressure for the industry, while its 2026 update said bikes and e-bikes avoided additional Section 232 steel and aluminum tariff exposure at that time. (PeopleForBikes)

For distributors, this means price planning cannot rely only on factory quotation. Landed cost, duty exposure, battery compliance, warranty reserve, domestic warehousing, and return handling all shape the real margin.

Why Low-Priced Used E-Bikes Are Moving Faster

One reason used e-bikes are becoming more interesting is simple: new e-bikes are still expensive for many American consumers.

A refurbished or used e-bike can reduce the entry barrier. Bloomberg reported that Upway, a second-hand e-bike reseller, sells refurbished e-bikes at around a 40% discount compared with new bikes, using its U.S. warehouse and repair model to build trust in the second-hand category. (彭博社)

This matters because e-bikes are closer to cars than traditional bicycles in one important way: buyers worry about condition. With a normal used bicycle, people check the frame, drivetrain, wheels, and brakes. With a used e-bike, they must also think about battery health, controller condition, charger compatibility, water damage, and whether replacement parts still exist.

That is why the used e-bike market will likely grow fastest where inspection and warranty are included. A random cheap used e-bike on a marketplace may move quickly because the price is low, but a certified used e-bike can create a more scalable business model because it reduces buyer fear.

For new e-bike distributors, this creates pressure. A $1,799 new bike is not only competing with another $1,799 new bike. It may also compete with a refurbished bike from a known brand at a lower price. That changes the value equation.

The practical lesson is clear: if a new e-bike brand cannot explain why its product is safer, easier to service, better supported, or better matched to a specific use case, it will be squeezed by both cheap imports and refurbished alternatives.

Online Growth Does Not Eliminate Offline Service

Many brands want to believe that online sales can replace local service. That is only partly true.

Online discovery is growing. PeopleForBikes reported that although only about 2% of e-bikes sold by bike shops in Q1 2024 were sold online, that channel had a 45% annual growth rate, and many transactions were “click and collect,” meaning the local shop still played a role. (PeopleForBikes)

This is the key point: e-bike buyers may shop online, but they still need offline confidence.

They need assembly. They need brake adjustment. They need a place to ask why the display shows an error code. They need tire service. They need battery guidance. They need someone to explain whether the bike is legal in their city, park, campus, or apartment building.

This is where many direct-to-consumer brands become fragile. Their websites may look strong, their ads may be aggressive, and their pricing may be attractive. But when the customer needs support, the brand either has a real service network or it does not.

Independent bicycle dealers are also under pressure. AP reported that U.S. bike shops enjoyed a pandemic boom but later faced inventory problems, weaker commuting traffic in some cities, and pressure from manufacturers selling directly to consumers. U.S. bike sales in 2023 were reported at $4.1 billion, up from 2019 but down significantly from the 2020 peak. (AP News)

So offline service is not automatically safe either. The future is likely hybrid: online demand generation, local assembly, regional service partners, parts availability, and clearer warranty rules.

For international suppliers, this matters a lot. A U.S. buyer may like your FOB price, but if your product creates too many service problems, the distributor will lose money after the sale. The best suppliers will not only sell bikes. They will sell a serviceable system.

What Buyers and Distributors Should Watch Next

The first thing to watch is battery compliance.

UL Solutions describes UL 2849 as a standard focused on the e-bike electrical drive train, battery, and charger system combination, with fire-safety certification at the system level. (UL Solutions) CPSC has also called on manufacturers to comply with UL standards for battery-powered micromobility products and demonstrate compliance through accredited testing-lab certification. (U.S. Consumer Product Safety Commission)

This does not mean every buyer will immediately pay more for certified products. Many will not. But regulation, apartment rules, city enforcement, insurance pressure, and retailer requirements will push the market in that direction.

The second thing to watch is channel quality. Direct-to-consumer growth is real, but the brands that survive will need more than ads. They need spare parts, service documentation, warranty logic, battery traceability, and a clear customer-support structure.

The third thing is product segmentation. “Commuter e-bike” is too broad. A student, a delivery rider, a 60-year-old recreational rider, and a suburban parent carrying a child do not need the same product. A distributor who buys only by motor wattage and battery capacity will miss the real buying logic.

The fourth thing is regulation. E-bike rules in the U.S. are fragmented by state and city. Safety discussions are becoming more serious, especially around batteries, speed, youth riding, and sidewalk conflicts. A 2026 Guardian report noted rising concern about e-bike crashes and local policy responses, including debates around registration, enforcement, infrastructure, and delivery-worker equity. (卫报)

The fifth thing is import risk. The U.S. market depends heavily on imported bicycles and components. Tariff changes can reshape retail pricing quickly. A buyer who ignores trade policy is not doing market analysis; he is guessing.

A Practical Checklist Before Trusting Any Market-Growth Story

Before trusting any e-bike market-growth story, I would check six things.

First, ask whether the data measures dollar sales, unit sales, imports, sell-through, or participation. These are not the same. A market can grow in dollars while unit sales remain weak.

Second, ask which channel is included. Many traditional reports undercount direct-to-consumer sales. PeopleForBikes later revised its forecast after adding more DTC data, noting that nearly 50% of 2024 e-bike sales occurred through direct channels and revising 2026 e-bike unit growth to 11%. (Bicycle Retailer and Industry News)

Third, separate new bikes from used and refurbished bikes. Used e-bikes can expand access, but they also change pricing pressure for new models.

Fourth, look at serviceability. If the market grows through products that cannot be repaired locally, the sales number may look good while customer satisfaction declines.

Five, check battery and charger standards. A low price without credible safety documentation is not a competitive advantage. It is a hidden liability.

Sixth, identify the rider segment. A product for delivery use, commuting, family riding, recreation, and light trail use should not be positioned with the same message.

My bias is that I believe e-bikes have real long-term value. But the market will punish lazy thinking. The winners will not be the brands shouting “long range” the loudest. The winners will be the ones that match product, price, safety, channel, and service into one believable offer.

Questions fréquemment posées

Are e-bikes really driving bicycle-industry growth in the U.S.?

Yes, especially in dollar terms. Circana data cited by PeopleForBikes showed that e-bikes accounted for 63% of dollar-sales growth among all bicycles between 2019 and 2023. But e-bikes were still only 4% of unit sales in the measured market in 2023, so the category is financially powerful but not yet dominant by volume. (PeopleForBikes)

Does that mean traditional bicycles are declining?

Not exactly. Traditional bicycles still make up most unit volume. The better way to read the market is this: traditional bikes remain broad and foundational, while e-bikes are becoming the higher-value growth category.

Why are affordable e-bikes so popular?

They lower the entry barrier. Many U.S. consumers are interested in e-bikes but are not ready to pay premium prices. Affordable models make the category accessible, especially for casual riders, students, commuters, and value-driven families. The risk is that low price can hide weak battery quality, poor brakes, bad wiring, and limited support.

Are used e-bikes a threat to new e-bike brands?

Yes, especially in the mid-price segment. Certified refurbished e-bikes can offer recognizable brands at lower prices. New brands must defend their value through better warranty, clearer use-case positioning, safer batteries, updated components, or stronger service support.

Can online e-bike sales replace bike shops?

No. Online sales can generate demand, but e-bikes still need assembly, adjustment, repair, warranty handling, and parts replacement. The strongest model is likely online-to-offline, not online-only.

What should distributors care about most before importing e-bikes?

They should check real landed cost, battery certification, spare-parts availability, warranty terms, packaging quality, local legal fit, brake performance, controller reliability, and after-sales workload. A cheap FOB price means very little if the product creates expensive customer problems later.

What kind of e-bike products are likely to perform better?

Products with clear use cases. A practical commuter bike, compact folding bike, cargo-capable family bike, or comfortable step-through city bike is easier to sell than a generic “powerful e-bike.” The U.S. market rewards clarity.

What is the biggest mistake in reading e-bike market reports?

The biggest mistake is treating all growth as equal. Dollar growth, unit growth, rider participation, import volume, and online traffic can tell different stories. Serious buyers should compare several signals before making decisions.