Why electric bikes from Peugeot and Gitane are at risk

Producing tens of thousands of Gitane and Peugeot electric bikes a year, Cycleeurope and its French factory are currently looking for a buyer. Their economic situation is very worrying.

Source: Peugeot

Cycleurope is a group that celebrated 70 years since 2024, since it was founded in 1954. But for several years, its activities have been declining. The first blow was the takeover of its bicycle and e-bike factory in Machecoul (Loire-Atlantique), by Intersport in 2013. Therefore, only the Romilly-sur-Seine (Aube) site remains, taken over by the group in The 2000s.

Cycleurope and the French factory in debt

However, he can’t get his head above water either. According to Informed, Cycleurope is in serious financial trouble. This is a surprise, since we can study the project of a new factory in 2025 this article from local media.

Cycleeurope would accumulate a debt of 25 million euros by the end of 2022 and incur a new deficit of 3 million euros in 2023. Its owner, the Swedish businessman Grimaldi (also owner of Bianchi), is now looking for a buyer for his site. Romilly.

Today, the bicycle and e-bike factory employs 140 people, including 100 full-time employees. However, we do not know the amount of production, which is estimated to be around 400 bicycles per day. In total, 95% of them are electric bikes according to Jérôme Valentin, president of Cycleurope. The site had also collected Bianchi bikes, but also Voltaire.

Are Peugeot and Gitane electric bikes at risk?

So Cycleurope’s situation has reason to worry Peugeot. Lion’s electric bikes are assembled exclusively in its factory, and Peugeot must monitor the operation closely. Above all, Peugeot Cycles recently faced the bankruptcy of its partner BeweelSociety, which was to sell its new generation of connected electric bikes. Douze Cycles has also taken delivery of the Peugeot LT electric long tail at its Dijon factory.

Another brand involved is Cycles Gitane, a historic player in cycling in France, owned by Cycleurope. The French company launched its latest G-Life Longtail cargo bike and Cycleeurope is also assembling its La Poste cargo bike.

We contacted Cycleeurope who have yet to respond to our requests for information, while Stellantis (Peugeot’s owner) did not want to comment.