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Vivavelo Congress: Take the Bicycle Industry Seriously - Cargo Bike Subsidies Are Coming Back

Bicycle industry discusses the sector's challenges and formulates expectations to strengthen the industry. Ministry of Economy announces new edition of commercial cargo bike subsidy with up to 25 percent. E-mobility is already a reality in the two-wheeler sector.

<p>Pedal to the metal: Industry and ministerial representatives at the Vivavelo Congress in Berlin. | Photo: Zukunft Fahrrad</p>
<p>Pedal to the metal: Industry and ministerial representatives at the Vivavelo Congress in Berlin. | Photo: Zukunft Fahrrad</p>
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Johannes Reichel

The vivavelo Congress and the parliamentary evening of the bicycle industry have now become a fixed event in the calendar of political Berlin. The event was once again organized by the three trade associations Verbund Service und Fahrrad (VSF), ZIV – The Bicycle Industry, and Zukunft Fahrrad. The core themes of the congress were strengthening Germany as a bicycle location and better utilizing its potential for value creation, jobs, and transformation of the transportation sector. Over the past 20 years, the industry has revolutionized bicycle mobility. Currently, more than 11 million e-bikes are on the roads. Electromobility has long been prevalent in the bicycle sector.

Bike-sharing and leasing create new jobs

Additionally, booming innovative services such as bike-sharing and bicycle leasing for employees are contributing to the industry. The power of the sector is also reflected in economic figures: In 2023, the revenue in the trade, production, and service sectors amounted to 29.3 billion euros. Almost half a million jobs are tied to the economic factor of bicycles. New impulses are needed to continue this success story. The bicycle industry not only creates jobs but also plays a crucial role in the transformation of transportation and energy, explained Federal Minister of Economics Robert Habeck.

"E-bikes, especially cargo bikes, are alongside e-cars the epitome of the upcoming electrification of transportation. And Germany is today a central innovation site and lead market for e-bikes throughout Europe. During this legislative period, we have initiated many movements that have shown: the transport transition is underway, and it is happening now. And bicycles are part of it. It's not about playing bicycles and cars against each other. We need both for mobility. But the infrastructure in particular must accommodate the increased bicycle traffic so that people can safely get to work, shop, or school," said Habeck further.

Funding for cargo bikes for businesses returns in October

Bernhard Kluttig, Head of Industrial Policy at the Federal Ministry of Economics, represented the minister at the parliamentary evening and announced that the purchasing premium for commercial e-cargo bikes under the National Climate Protection Initiative will be reintroduced in October 2024 and extended until 2027. The acquisition will be subsidized by 25 percent, with the maximum funding amount increasing by 1,000 euros to a maximum of 3,500 euros. This is an important signal. It will support businesses in transitioning to climate-friendly mobility and relieve cities. Additionally, it helps a still young segment of the industry to continue developing.

What the Industry Still Needs: Moving Away from the Car, Towards the Bike

Burkhard Stork, Managing Director of ZIV – The Bicycle Industry, explained that the EU Commission has set a new standard with the Mobility Transition Pathway for how the mobility economy in Europe should be strategically reoriented – from cars to bicycles, and onwards to rail and shipping.

"We are ready for a dialogue between the federal government and the bicycle industry associations to advance the implementation of proposed measures at the German level. The tasks are diverse: securing skilled labor, digitalization, cluster formation, establishing the battery value chain, or re-shoring," Stork continued.

Wasilis von Rauch, Managing Director of Zukunft Fahrrad, reminded that the National Cycling Plan had already been decided in the coalition agreement for the Bicycle Nation Germany 2030. To achieve this goal, a binding action plan with significantly more investments in bicycle paths and parking is finally needed.

"Good bicycle infrastructure is still the best promotion for the bicycle industry. Moreover, the federal government can take an example from the EU Commission and France: The bicycle industry belongs in the federal government's industrial strategy and in regional transformation networks. Anyone who wants to transform the mobility industry cannot bypass the bicycle industry," appealed von Rauch.

Uwe Wöll, Managing Director of Verbund Service und Fahrrad, demanded that attracting and securing skilled workers for the industry is one of the most important fields of action in the coming years. Here it is important to open up as an industry to new target groups and actively promote. Whether it is attracting more female employees and executives, inspiring school graduates for a career in the industry, or integrating refugees. In the course of the upheavals in the entire mobility industry, for example in the automotive industry, it is also a matter of welcoming career changers, said Wöll.

Translated automatically from German.
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