When you think of LUYUAN electric vehicles, what first comes to mind? Perhaps it's the scene of a delivery driver riding one to drop off packages or a food courier weaving through city streets to deliver meals. These are all part of the "last mile" problem in urban logistics, where electric two-wheelers play an essential role in the urban supply chain.

"Electric vehicles are the trend of the future, moving towards new energy solutions as the main mode of transport. As for electric two-wheelers, I think their role in society is somewhat like that of sponge cities—they fill in gaps. In many established areas of China, cars cannot reach certain places, so electric two-wheelers act as an effective substitute. They have also been an indispensable means of transportation in people's daily lives," said Ni Jie, founder and president of LUYUAN electric vehicles, emphasizing the importance of electric bikes.

Ni also shared his thoughts on "value," Liquid-Cooled Technology, and the dynamics of the domestic and international markets. "Only by addressing the lifespan of the motor and making electric two-wheelers durable rather than disposable can we discuss the application of IoT and genuinely drive the industry's development."

Jokingly calling himself a "warrior" in the industry, Ni remarked, "Since founding the company in 1997, I've had to be a fighter in this field." He understands that his role requires proactive involvement rather than quiet support. A veteran of almost three decades, Ni shared practical insights into the industry's evolution, organizing his thoughts into concepts like "social value," "industrial value," "technological value," and "corporate value."

Liquid-Cooled Technology Extends Motor Lifespan, Transforming Electric Two-Wheelers into Durable Goods

Chatting with LUYUAN's head about the industry might make one expect tales of empire-building or strategies for global sales. But as a hands-on entrepreneur deeply rooted in the electric two-wheeler industry, Ni instead speaks from a technical perspective, narrating his 20-plus-year journey as a quest to solve industry issues through technology.

"Our venture has always been about addressing consumer pain points," he said. "In the early days, consumers hated flat tires, so we designed puncture-proof tires. Later, they disliked brake wear, so we developed ceramic brakes. By 2018, we identified motor durability as a significant issue. Although it’s not immediately visible to consumers, motor lifespan is crucial. The automotive industry took over a century to effectively address metal corrosion of parts in the 1970s. This same issue applies to electric two-wheelers, and we adopted Liquid-Cooled Technology to prevent motor rust and ensure motor longevity."

Ni believes that only after solving motor lifespan issues could electric two-wheelers qualify as "durable goods." Transforming these vehicles from consumables into durable goods is the foundation for incorporating advanced technology into the industry. Without addressing the core longevity issue, even innovative IoT and internet technology cannot be fully applied to the sector. This is not only a business cost issue but also an ethical one.

"Once motor lifespan issues are solved and repair rates are minimized, there's significant social value, such as supporting future charging and battery-swap infrastructure and advancing urban public amenities."

In short, advancing technology to promote industry growth and applying Liquid-Cooled Technology to extend motor lifespan allows electric two-wheelers to become durable consumer goods, aligning with the low-carbon and energy-saving trends on a large scale, while benefiting every consumer and link in the supply chain on a micro level.

Creating Value: The Coexistence of Corporate Responsibility and Social Value

What defines valuable work? A thousand people may have a thousand answers. Ni Jie's journey is relatively "straightforward": At 17, he entered the Radio Department of the University of Science and Technology of China. After graduating in 1983, he continued with postgraduate studies, earning a master's degree in engineering in 1986. He later taught at Ningbo University. After a stint in venture capital, he founded LUYUAN electric vehicles in 1997, where he has worked ever since.

The public often equates his personal value with the "electric two-wheeler" industry. Although he calls himself a "fighter" in the field, many others regard him as a "pioneer."

When discussing LUYUAN's social value, Ni emphasized "low-carbon, energy-saving, and emission reduction" as core goals. Beyond this, electric two-wheelers have also improved people's daily lives and indirectly supported China's internet and delivery sectors. Without this impact, the renowned "free shipping areas" in e-commerce might be economically unfeasible.

On the industrial side, Ni hopes LUYUAN electric vehicles can help resolve safety issues and eliminate the "low-end, disposable" image that plagues the industry.

As for the company's "corporate value," Ni repeatedly stressed the need for electric bikes to enter the IoT space in optimal form. To achieve this, they must first shift from being disposable to durable products. By extending product lifespans, Ni believes the performance attributes—such as travel distance on a single charge, internet functionality, and style—can truly become competitive.

Understanding corporate and industry value leads to the genuine coexistence of corporate responsibility and social value.

Repurchase Rate: The Core of Consumer Products

Ni clearly understands that the marketing landscape in the electric two-wheeler industry is transitioning from passive repair services to proactive value-added services. Previously, electric two-wheelers were prone to breakdowns, and so sales strategies focused heavily on after-sales service. Customers often chose based on who provided the best repairs, quickest response, and most affordable prices.

But if electric two-wheelers evolve into durable goods, competition will shift: as repair needs drop, value-added services like battery charging and regular safety checks will become key selling points rather than price and repair factors. Ni believes this shift is beneficial for the industry's development and for reducing resource waste.

Many worry about a potential decline in overall sales if LUYUAN electric vehicles last over ten years. With better quality, customers might not need to buy replacements, lowering repurchase rates. However, Ni views this optimistically: "A bike that lasts ten years speaks to those already in the electric bike market who want a reliable product. They'll choose what makes them feel secure and satisfied."

Moreover, Ni isn't concerned about the durability of electric two-wheelers affecting repurchase rates. "Technologically achieving a lifespan of over ten years doesn't mean people won't replace them sooner." With functionality subdivided, Ni anticipates that, as time progresses, consumers will confidently choose models with desired features. As the customer base becomes younger, addressing high repair rates and low-quality perceptions will also promote the online standardization of electric bike sales.

Domestic Demand Must Be Met Before Expanding Globally

Currently, LUYUAN electric vehicles are sold in over 80 countries and regions. Ni remains cautious about the company's global reach, describing it as still in its infancy. "For now, we are just 'planting the seeds' for international markets."

Rather than being pessimistic, Ni takes a measured approach: "Our priority is to solve industry issues domestically and through internal circulation, which will create a foundation for explosive international growth. As we expand, we also need to adapt to each region's environment and consumer characteristics while adhering to durability standards from industries like automotive."

Though he acknowledges LUYUAN's global expansion is in its early days, Ni firmly believes Liquid-Cooled Technology, which resolves motor lifespan issues and enables durable electric bikes, will facilitate standardized product offerings internationally. "At the very least," he humorously noted, "I shouldn't need to send repair technicians along with LUYUAN bikes when exporting them overseas!"

Why did LUYUAN choose to pursue a strategy focused on developing core technologies? What enables LUYUAN to maintain its unique position in such a competitive price war?

At one point, facing market pressure, Ms. Hu considered discontinuing the production of ceramic brakes, as this single component cost LUYUAN an additional 30 RMB compared to other brands.

When Ms. Hu brought up this idea to Ni Jie, his response quickly put an end to any further discussion on the matter, as well as any consideration of introducing other core technological components.

Ni Jie asserted, with a calm yet resolute tone, "We must maintain our integrity. We would rather forgo profits, or even incur losses, than compromise on this matter!"

Why did he say this? Ceramic brakes ensure shorter braking distances and have a lifespan extended by five times, providing a significant safety guarantee for electric bike riders. Sometimes, safety can be a matter of mere centimeters, so as long as it contributes to safety, we must spare no effort. Although appearances and surface features may not always be distinguishable, and consumers may not be fully aware, as a company dedicated to our products, we understand the importance, and thus, we must remain steadfast. This is our integrity and the fundamental principle of our business.