Rory Cellan-Jones: "The whole UK motor trade stands accused of keeping prices artificially high"

The legal move has wide ramifications for the whole UK motorcycle industry which stands accused of keeping prices artificially high.

It may lead to a significant increase in the cost of buying a motorcyle.

Incensed

Honda has been incensed by the unofficial imports of cut price bikes by enterprising entrepreneurs.

Bikes imported from the Far East now account for a quarter of all the bikes sold in the UK and can cost up to £3,000 less than non-EU models.

Importers have taken advantage of the strong pound and cheaper prices abroad to sell the motorcyles at knock down prices.

Honda has issued writs against four dealers in an attempt to stamp out the cheap imports.

In its defence, Honda says bikes from such unofficial sources are generally cheaper, but may not be safely prepared for road use.

Bob MacMillan, general manager of Honda UK, says it is about safety, not price.

Honda says its bikes go through rigorous checks before being sold on the market.

"It's about the peace of mind for the customer," he said.

Higher prices?

However in suing the dealers Honda has opened itself up to charges of blocking choice for the British consumer.

The introduction of cheap imports has already benefited buyers.

Major manufacturers, including Honda, have been forced to offer new incentives and slash prices to tempt customers.

The Association of Parallel Importers, which represents the unofficial dealers, has already clashed with major manufacturers in recent weeks.

Gloves are off

The organisation complained that the manufacturers were guilty of restriction of trade after parallel importers were denied the chance to sell cheaper bikes at the motorcyle industry's annual exhibition in Birmingham earlier this month.

Now the gloves are off, as the manufacturers fight back against the unofficial dealers.

With motorcycles back in vogue and sales booming, the stakes are high.