Motorcycle makers buck entry of 2nd-hand imports

The problem of second-hand imports is not limited to automobiles.

Apparently, even the motorcycle industry has been adversely affected by importation of second-hand motorcycles from China.

According to the Department of Trade and Industry, the importation of second-hand and brand imitation motorcycles has reportedly affected sales and production of local motorcycle companies.

Motorcycle sales amounted to only 48,340 units from January to March this year, 1,803 units or 3.6 percent lower than the 50,143 units sold during the first three months of 2001.

Local motorcycle manufacturers are reportedly disappointed over the DTI’s failure to protect their industry and the Motorcycle Development Program.

Local motorcycle manufacturers are Honda, Yamaha and Kawasaki and Suzuki.

According to industry sources, Chinese made motorcycles are being dumped in the country and are eating into the market previously dominated by Honda, Yamaha, Kawasaki and Suzuki.

The China imports, sources said, have no documents indicating their home consumption value. Without such document, it is difficult to base the reasonable price at which the units should be sold.

Thus, the Chinese motorcycles are sold at very cheap prices.

Local motorcycle manufacturers have asked the DTI for tariff protection. At present, the tariff rate on completely knocked down (CKD) units is only three percent, while the tariff rate for completely built up (CBU) units is 20 percent. – Marianne Go