The Dutch electric cargo bike rental company Cargoroo has removed its bikes from public locations. The Amsterdam court is expected to declare the company’s bankruptcy this week, according to Utrecht Councilor Maatoug (Mobility), who was informed by the company.
Cargoroo, founded in 2017, offered shared electric cargo bikes in nine cities, including Utrecht, Nijmegen, and Eindhoven, as an eco-friendly alternative to cars. The service was also available in several Belgian and German cities.
The company is currently unreachable for comments, and customers can no longer rent bikes through the app. Cargoroo’s fleet consisted of approximately 700 bikes, catering to occasional users such as parents and individuals needing to transport large items.
The company employed about 25 people, as stated by director Jaron Borensztajn, who previously mentioned a lost tender in Amsterdam and its potential implications for the company. Councilor Maatoug expressed regret over the situation, noting increased demand for shared cargo bikes in Utrecht and other cities.
The municipality aims to collaborate with other cities to facilitate the bikes’ return. The cycling sector is experiencing turbulence, with e-bike manufacturer Stella Fietsen narrowly avoiding closure.
CNV union representative Kaj Grundemann commented on the industry’s struggles, attributing them to post-pandemic scaling challenges and decreasing demand. It remains uncertain whether Cargoroo can make a comeback.
Source: NOS