Honda Taiwan, the nation's fourth-largest car distributor last year, has said car sales may rise by about 6 percent this year from last year on the back of new car launches by major brands.

The forecast came as the latest industry data showed total car sales nationwide reached 139,482 units from January through May 10, up 12 percent from the same period of last year.

"Total car sales this year will increase by 15,000 units to about 400,000 units, from 378,456 units a year ago," Honda Taiwan vice president Wey Gow-Jhy told reporters on the sidelines of a ceremony in Taipei to introduce the new Civic sedan, the only sedan the company manufactures locally.

The forecast is higher than the company's March estimate, when it said total car sales would remain flat this year from last year.

For Honda Taiwan itself, the company retained its target of selling 26,500 to 27,000 cars this year, Wey said. "We aim to sell 6,000 new Civics this year," he said.

The new Civic belongs to the segment of cars with engines of between 1.8 litres and 2 litres, which is expected to account for 44 percent of total market this year, up from 40 percent a year ago, he said.

Priced between NT$ 739,000 and NT$ 879,000 (US$ 24,500-29,100), the new Civic is targeted at single male customers with monthly income above NT$ 60,000, he added.

Chen Chun-liang, a deputy division manager of the company, expects sales of new Civics to account for about 20 percent of total sales, while those of the CR-V SUV, the best-selling locally manufactured SUV last year, may contribute 50 percent of overall sales.

Last month, the CR-V was replaced by the Luxgen U6 marketed by Luxgen Motor, a automobile brand operated by Yulon Motor, as the second-best-selling locally manufactured SUV in Taiwan, according to industry data.

Honda Taiwan sold 751 units of the CR-V last month, while Luxgen Motor sold 816 Luxgen U6s, industry data showed. "The competition in the SUV segment is more severe this year because of new competitors in the market, and customers are more inclined to buy new cars," Chen said.