Ananda recently hosted Nieuwsfiets journalist Arnauld Hackman at our newest factory in Binh Duong, Vietnam. During the visit, Chao Liu, Deputy Director of Overseas Sales, shared insights into Ananda’s global strategy and the significance of our latest expansion. Below is the full story, originally published on Nieuwsfiets.nl, translated into English.
BINH DUONG (VN) – While Ananda Drive Techniques’ fifth and newest factory is located in Vietnam, partly to better serve the European market, their vision is much broader, targeting global e-bike markets.
This became evident during a factory visit in Vietnam’s Binh Duong province. Ananda started in 2001 by producing electric drive systems for various vehicles and expanded into producing electric motors for four-wheelers ten years later. Today, however, their focus is fully on light electric vehicles. Two-thirds of their revenue comes from their home markets in Asia, primarily from electric scooters. The remaining third is generated from e-bike drive systems, a segment they entered seriously eight years ago. Initially, they manufactured components like controllers and displays, followed by hub motors, mid-drive motors, and more.
Stay close to European customers
“We grew fairly quickly, and today we’re among the top suppliers if you consider the number of systems we place on the market,” said Chao Liu, Deputy Director of Overseas Sales at Ananda.
The European office of Ananda is situated in Arnhem, wich is established in 2013 and plays a critical role in staying close to European customers. “That office was and remains critical because we want to be close to our European customers. “Especially During the COVID years, we experienced significant growth and opened a new facility in Europe, this time in Hungary, where we focus on repairing and refurbishing our systems. Potentially this could be Ananda’s Europe production location in future”
“We also opened several service points in Italy, France, and the Netherlands, and the company plans now to open more service centers across Europe in the coming years, with locations specifically planned in Germany, Sweden, and Poland, as well as in Brazil. These centers will be dedicated to providing service and dealer support.”
Ananda Plans Hungarian Factory Launch in 2026 or 2027
The factory in Vietnam is Ananda’s newest and fifth facility. They currently operate three factories in China, one in Vietnam, and eventually plan to start production in Hungary, although this is not yet underway.
“Several local arrangements need to be made,” Chao acknowledged. “We need to establish a local team and set up an automated production line. The Hungarian factory is scheduled to open in 2026 or, at the latest, 2027.”
As the North American and European markets are important for Ananda, an additional factory in Vietnam was necessary to meet the production needs of their customers. This expansion directly addresses the growing demands of these markets. Opened at the end of 2023, the Vietnamese factory is now fully operational.
Trusted partner comprehensive eDrive solutions
“We are a producer with a fairly extensive product range and one of the few Chinese companies that manufactures all motors, controllers, displays, and torque sensors in-house. We have our own R&D department, enabling us to produce complete e-bike systems, except for batteries, which we source from our battery partners,” Chao continued, noting that Ananda employs 1,200 people worldwide.
Stock Exchange Listing Marks Major Milestone
In the summer of 2024, Ananda went public on the Shanghai Stock Exchange under the name Ananda Drive Technique (Shanghai) Co., Ltd, This marked a significant milestone, ushering in a new phase of rapid growth for the company. This growth is intended to extend globally, not only in Asian home markets like China, Vietnam, and Japan but also across Europe and in North and South America. Ananda firmly believes electric two-wheelers will continue to gain traction in these markets.
Expand network of service centers
In line with the “think globally, act locally” principle, they are expanding their network of service centers to support the five existing factories closer to their target markets. “I think we rank among the largest mid-drive motor producers after Bosch, Shimano, Yamaha, and perhaps Bafang,” Chao stated.
Chao admitted that while the pandemic years were beneficial for business, the market subsequently slowed. “That had an impact on our performance and the growth slowed down in 2023.However, we had a much stronger performance than the market average. This year, we’ve returned to normal levels. While we lagged slightly last year, we’ve caught up this year because we’ve gained market share as more brands chose Ananda.”
Surviving in a Competitive Market
Anyone who visited Eurobike this past summer would have noticed that an entire hall could now be filled with e-bike drive system providers, all promising outstanding riding experiences.The established players are facing increasing competition.
“This isn’t surprising,” said Chao. “We’re all part of a growth market, aiming to get more people on e-bikes. This market is not just about competition; it’s about bringing innovative, reliable, and affordable products to market. Of course, you see many newcomers entering the market, but it will take them a lot of time to learn how to survive in this space. We welcome anyone bringing good products to market, as it enhances diversity. However, everyone will need to carve out their own place to survive,” Chao emphasized.
He also pointed out that mid-drive motors remain a specialized segment dominated by established brands. “New brands still struggle to match the volumes of established players. They have a lot to learn before they can deliver reliable products.”
Chao also highlighted the importance of service networks for retailers handling e-bike maintenance and repairs. “Retailers often worry about support for new brands. Building a robust service network is essential to instill confidence in retailers, and brands must invest heavily in this.”
Automated Shifting System Ready for 2025
Ananda has announced his plans for the mass production of its R900 rear-drive motor system in 2025, featuring fully integrated electronic automatic shifting.
The first samples of the R900 are already available, with mass production planned for the second quarter of next year. “It’s an electronically automatic shifting system that we will showcase at Eurobike 2025. Samples will be distributed to our customers, and with some luck, you might see our new system in 2025 models in the market or, at the latest, in 2026 collections.Our customers have already shown significant interest.”
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