Asian Honda Motor, Honda's Asia and Oceania headquarters based in Bangkok, expects to see growth of 27 per cent in exports this year, after they fell 32 per cent to Bt71 billion last year.

"In 2010, we believe the auto industry will be more stable. Honda's 2010 exports are projected to grow to a value exceeding Bt90 billion, mainly contributed by increasing demand for automobiles in Australia and countries in Asia," Fumihiko Ike, president and CEO, said yesterday.

Exports in the fourth quarter reached Bt19.48 billion, only 17 per cent short of the same quarter last year, which represents a significant improvement as the global economy continues to recover.

Last year the company's exports were mainly automobiles, which accounted for about 61 per cent. Completely built up (CBU) and completely knocked down (CKD) units accounted for Bt43.07 billion, which was 34 per cent lower than in 2008.

Honda exports five models - the City, Jazz, Civic, Accord and CRV - to more than 40 countries, with key markets in Australia, ASEAN, the Middle East and New Zealand.

The City was the most successful export model, with 13,726 units representing 36 per cent, followed by the Civic at 9,343 units and the Jazz at 7,099 units. These three models accounted for 79 per cent of exports, which clearly indicates the growing trend towards small passenger cars in the world market.

Australia accounted for 59 per cent of export volume, followed by Indonesia and the Philippines.

Small cars also helped Honda Automobile Thailand eke out growth of 2.9 per cent last year, while every other major automaker saw sales slide. In the passenger car segment, Honda grew 7.6 per cent and boosted market share to 38.3 per cent.

The next biggest export for Asian Honda Motor from Thailand was CBU and CKD motorcycles, worth Bt16.27 billion, representing 23 per cent of the total value. The value of Honda's motorcycle CBU and CKD exports decreased by 31 per cent from 2008.

Honda exports the Innova and the CBR125 as CBU models to key markets in Europe. For CKD motorcycles, ASEAN is the key market.

Early this year, Thailand will further serve as the global manufacturing base for the PCX, which Honda plans to export to Japan, Europe, the United States and Asian countries.

The third biggest export for the company from Thailand was power products at Bt8 billion, or 11 per cent of the total value. Thailand is Honda's primary global production and export base for its power products, which are shipped to more than 80 countries.

Although demand for power products in the US remained stagnant, the overall decline was better than expected due to the expansion of Asian markets.

Remaining exports are parts, accessories and dies and moulds worth Bt3.65 billion, or 5 per cent of the total export value. The export of replacement parts also declined, by 33 per cent last year.