Phl remains Asia’s laggard in motor vehicle production

MANILA, Philippines - The Philippines remained Southeast Asia’s  laggard in terms of motor vehicle production during the first eight months of the year, according to the ASEAN Automotive Federation (AAF).

Data from the AAF showed the Philippines assembled 50,223 vehicles as of end-August, down 1.8 percent from the 51,137 units recorded a year ago.

In contrast,  Thailand assembled 1.736 million units as of end-August, while Indonesia produced 770,367 units, Malaysia manufactured 385,851 units and Vietnam made 55,883 units.

In terms of sales, the Philippines was just in the middle of the pack, having sold 116,613 units in the January to August period, 18.1 percent from the 98,728 units in the same period last year.

The Philippines’ eight-month sales fell behind Thailand’s 939,342 units, Indonesia’s 792,358 units and Malaysia’s 433,023 units.

However, the Philippines’ sales performance was better than Vietnam (60,538 units), Singapore (22,178 units) and Brunei (12,649 units).

In terms of production of motorcycles and scooters, the Philippines saw the number of manufactured units rise year-on-year in the eight month period, but still behind most of its peers with assembly operations.

The Philippines assembled 473,186 units as of end-August, up by 27.2 percent from the 372,102 units assembled a year ago.

The number of manufactured motorcycles and scooters here is below Indonesia’s 5.127 million units and Thailand’s 1.575 million units, but higher than Malaysia’s 370,439 units.

The Philippines was also in the middle in the region in terms of motorcycle and scooter sales.

The country sold 478,858 units in the eight month period, up 7.6 percent  from the 445,098 units recorded a year ago.

The country’s sales performance fell behind Indonesia’s 5.135 million units and Thailand’s 1.438 million units, but ahead of Malaysia’s 372,755 units and Singapore’s 7,707 units.

The Chamber of Automotive Manufacturers of the Philippines, Inc. has earlier said the government will need to finalize and release the road map for the automotive industry this year.

The road map which will contain strategies to support the industry, is needed in deciding future investments here and to position the country for the ASEAN Economic Community  to be established in 2015.

Trade Secretary Gregory Domingo said earlier that the under the road map, the government is looking at providing incentives to car companies which are able to meet the minimum volume requirement per model per year of 40,000 units.

The minimum volume requirement is intended to push local manufacturers to hike their output and compete in the ASEAN.