Prospects are bleak for struggling Honda to import Brio eco-cars and City subcompacts to compensate for the output loss from massive flooding, says a senior executive at Honda Automobile (Thailand), the country's second largest passenger car manufacturer.

Thailand is the global production hub for both models. Brios built in India have the driver on the left and specifications are for Indian consumers.

Pitak Pruttisarikorn, executive vice-president, said Honda is undecided on which models from which countries will be imported now that the government has approved duty-free imports of fully-built cars.

The imports are allowed on the conditions that the models must be similar to those produced locally and the amount must not exceed what Honda planned to sell this year.

He said Japan is a likely import source but declined to say which models will be imported. The executive source said the Fit subcompact from Japan is similar to the Jazz in Thailand.

Freed compact multi-purpose vehicles imported from Indonesia remain available in the Thai market as usual. Taxes and freight costs will still apply to the imports, but Mr. Pitak said prices would not vary that much from similar model prices.

He promised damaged vehicles and parts will not be sold or donated to prevent them from entering the market. All damaged parts will be destroyed or dismantled in an environmentally friendly manner, he added.

Mr. Pitak acknowledged Honda may have a shortage of spare parts at some service centres, but it hopes to shuffle inventory between centres.

The company predicted a 30% decrease from its target of 120,000 unit sales due to the earthquake and tsunami in Japan and massive flooding in Thailand. Honda's two Thai plants, with annual capacity of 240,000 units, were inundated.

The facilities are now accessible and Honda staff is surveying the damage, but a reopening date remains uncertain, said Mr. Pitak.

For the backlog of cars ordered before the floods, he said 37,000 are undelivered. Honda will continue to take new orders at the Thailand International Motor Expo, which opens today at Muang Thong Thani.