GEORGE TOWN, Aug 19 (Bernama) -- Malaysia's motorcycle sales are expected to grow 15 per cent this year from the 500,000 units recorded in 2009.

This forecast was made after the reduction in petrol subsidy, said Motorcycle and Scooter Assemblers and Distributors Association of Malaysia (MASAAM) President Datuk Syed Mohamad Aidid Syed Murtaza Thursday.

Sales had risen 10 per cent up to June, he told reporters here.

He said the increase enabled the motorcycle industry to provide up to 200,000 job opportunities and bring overall benefits to the economy.

"It creates employment opportunities in the manufacturing sector like motorcycle component factories and the engine assembly sector. It also helps insurance expansion and generate business for motorcycle workshops, big or small," he said.

Syed Mohamad Aidid said the country's motorcycle industry would now have a big potential to expand its international market following his two-year appointment as President of the International Motorcycle Manufacturers Association (IMMA).

The handing over of duties from his predecessor, Hendrik Von Kuenheim, took place in Munich in May.

"So far, Modenas motorcycles have penerated the market in Greece.

"With this appointment also, Malaysia can dictate terms for foreign motorcycles wishing to come to our market," he said.

Through membership in IMMA, Malaysia could forge international cooperation relating to quality standards amd road safety, he added.

-- BERNAMA