Astra Honda Motor was formed in 1971 as PT. Federal Motor with the assembly of Honda motorcycles. At the same time, it took over as the sole agency.
In 2000, the Astra Honda Motor joint venture was agreed between Honda and Astra International, which began operations in January 2001.[2] According to another source, the new company was a merger between PT. Federal Motor and PT. Honda Federal.[3]
Ten million Honda motorcycles were manufactured in Indonesia by 2003.[1]
In 2004 and 2005, Honda built a third plant in Bekasi.[2] In March 2015, the company opened a fourth plant in Karawang.[4][5] With a production capacity of 5.3 million motorcycles, Astra Honda Motor is the world's largest manufacturer of Honda motorcycles.[5]
At the beginning of 2015, around 22,400 people were employed at AHM.[5]
Honda has a very large market share in Indonesia, for example 73% in the first half of 2016.[6] The Indonesian market for motorcycles is one of the largest in Southeast Asia with more than 7 million units.[7]