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YAMAHA Motor has developed and marketed a hybrid bicycle with an electric supplemental power source which generates assist power in proportion to the pedal torque by riders. The key function required for this assist power control system is that the variation of the assist ratio should be as small as possible over wide range of riding conditions. The assist power control system consists of mechanical and electrical components and requires a very tight quality control of each component if the design fails to be robust to disturbances such as pedal torque or vehicle speed. We applied the Taguchi method to this development and succeeded in selecting the optimum combination of component levels in the system.