IRVINE, Calif. (BRAIN) — The National Bicycle Dealers Association and a consulting group said dozens of New Jersey bike shops have closed since the state passed a law this year requiring license, registration, and insurance for e-bikes, legislation aimed to address increasing high-speed motorized bike crashes and fatalities.
The NBDA, in collaboration with consulting firm Wheel House Strategies, estimates about three dozen bike shops closed through the end of September. The NBDA said an urgent review and amendments are needed "that advance rider safety while protecting local bicycle businesses and access to responsible cycling."
The groups also estimate that more than $23.3 million in lost retail revenue, $1.1 million in lost wages, and $1.5 million in lost sales tax through September. They also estimate a 20% decline in retail sales of legal e-bikes to New Jersey consumers and a 50% decline in supplier sales to New Jersey retailers. Their estimates reflect an assessment of the law's economic impact during 2026, including the months preceding the July compliance deadline.
State lawmakers said the law passed in January to restrict the city use of high-speed motorized bikes — also known as e-motos — which are designed for off-road use. Low-speed e-bikes have fully operable pedals and provide assistance only when pedaling.
New Jersey now has its own three-class e-bike definitions: "low-speed electric bike," with pedal assist up to 20 mph; "motorized bike," with throttle assist up to 28 mph; and "electric motorized bicycle," with pedals that can go over 28 mph.
"These shops are people's livelihoods," said Heather Mason, NBDA executive director. "They are where riders get trusted advice, learn to ride safely, and find support to keep riding. We support safer streets and responsible e-bike use. We need lawmakers to work with retailers on practical rules that protect riders and keep these essential businesses serving their communities."
