AP Honda Co, the local distributor of Honda motorcycles, expects sales to edge up by 2.5% to 1.39 million units on the country's anticipated economic recovery.
The company yesterday reported its 2014 sales totalled 1.36 million units, down 9% from a year before. However, its market share rose from 74% to 79% last year, making it the market leader for 26 consecutive years.
Thailand's overall market fell by 15% last year to 1.7 million units, marking the first time in three years in which domestic sales missed 2 million.
The country's motorcycle sales surpassed 2 million for the first time in 2011, hitting 2.01 million. Sales rose to 2.13 million in 2012 before dropping to 2.004 million in 2013.
"We believe Thailand's economy is gradually recovering," said president Nobuhide Nagata. "Consumer confidence, which bounced back to hit an 18-month high in December, also gives a positive sign for motorcycle sales." Mr Nagata said he expected Thailand's overall motorcycle market to increase slightly by 3% to 1.75 million units this year.
However, it is unlikely that Thailand can post sales of over 2 million units as the room for market growth is becoming limited.
Motorcycle ownership in Thailand is on a par with that in developed markets such as Taiwan and Japan.
In Thailand, motorcycle ownership averaged one for every 2.6 people in 2013 compared with one for every three people in 2012. In Taiwan, one in every 2.1 people has a motorbike.
Mr Nagata said AP Honda would continue to focus on the big bike market — models with an engine above 400 cc.
The company projects the overall big bike market to grow 20% this year to 19,000 units.
The company aims to sell 6,600 big bikes this year. Last year, 15,960 big bikes were sold here, a 22% increase over a year earlier, with AP Honda selling 5,498 units.