Honda to enter big-bike market

Honda is ready to enter the competitive local market for large motorcycles in Thailand, the Bangkok Post reports. Though the big-bike market is small because of sky-high import tariffs, Honda has decided to target the premium market because the budget segment is saturated. AP Honda Co., the local market leader, said that selling big bikes would enhance its brand image as well as take advantage of lower tariffs offered under the Japan-Thailand free trade agreement. Yamaha earlier this year became the first Japanese brand to officially sell large bikes in Thailand. The imported models that Honda plans to market this year include the 680cc DN-01 sport cruiser, developed from a concept bike that was recently launched in Japan. To support the new line, AP Honda will spend 250 million baht (US$7.5 million) to build a showroom, a service center and test track called Honda Big Wing in Bangkok. Figures from Thai Yamaha Motor Co. show there are only about 8,000 large bikes registered in Thailand. (May 28, 2008)