BUSINESS

War-Driven Fuel Crunch Boosts China’s Electric Two-Wheeler Exports to Southeast Asia

Published: Apr. 21, 2026 12:32 a.m. GMT+8

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Workers assemble electric two-wheelers for export at a vehicle manufacturer’s workshop in Taihe, Jiangxi province. Photo: VCG

Chinese exports of electric two-wheelers to Southeast Asia surged in the first quarter as rising fuel prices and shortages triggered by the Middle East war pushed consumers to seek alternatives.

The rapid shift underscores how regional energy vulnerabilities are accelerating the transition to electric mobility in motorcycle-dominated markets, creating a significant growth opportunity for Chinese manufacturers.

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Chinese electric two-wheeler exports to SE Asia surged in Q1: Myanmar +617.5% to 64.7M yuan ($9.5M), Laos +25.7% to 43.5M yuan, Cambodia +34.2% to 38.2M yuan.
Fuel shortages from Middle East war drove demand; Myanmar exempted EVs from rationing, Laos cut fuel tax, Cambodia saw gasoline/diesel/LPG prices rise 41.5%/84%/60%.
Low electric penetration (single digits in most countries); Vietnam targets full electrification by 2050; Chinese firms like Yadea expand local plants.

AI generated, for reference only

Who’s Who

Guotai Haitong Securities: Guotai Haitong Securities' March 24 research report stated that 15 million motorcycles were sold across nine Southeast Asian countries in 2025, but electric models had low penetration: ~10% in Vietnam (2023) and single digits in Indonesia, Thailand, Malaysia, and Philippines.

Yadea Group Holdings Ltd.: Yadea Group Holdings Ltd., Hong Kong-listed, identified Southeast Asia as a strategic priority in its 2025 annual report. It opened a production facility in Vietnam’s Bac Giang province in 2019 (initial capacity: 200,000 units) and launched a 1-million-unit plant in Bac Ninh province in early 2026. Overseas revenue was <10% of total in 2025.

Tailg Group: Tailg Group, a rival Chinese electric two-wheeler manufacturer, opened a plant in Vietnam’s Hung Yen province in August 2024 with a designed annual capacity of 350,000 units.

AI generated, for reference only