Philippines is 3rd fastest growing auto market in Asean in Q1

MANILA, Philippines – The Philippines remained among the most profitable automotive markets in the region as it recorded the third fastest growth in motor vehicle sales among seven countries in Southeast Asia in the first quarter.

Data from the Asean Automotive Federation showed vehicle sales in the region from January to March fell 3.8 percent to 741,392 units from 770,566 units in the same period last year.

Singapore, Vietnam, and the Philippines were the only markets that saw an uptick in sales during the period.

Philippine vehicle sales accelerated 21.6 percent to 76,479 units in the first three months of the year from 62,882 units during the same period in 2015.

Singapore emerged as the region’s fastest-growing automotive market during the quarter with an 80.4 percent year-on-year sales growth followed by Vietnam with a 37.4 percent jump.

Meanwhile, vehicle sales in Brunei posted the largest year-on-year drop at 28.9 percent followed by Malaysia with a 22 percent decline.

Indonesia and Thailand – the two biggest automotive markets in the region – likewise saw automotive sales slipped 5.4 percent and 8.2 percent, respectively.

Volume-wise, the Philippines sold the fourth most number of motor vehicles in the region within the three-month period.

Indonesia sold 267,227 units while Thailand and Malaysia sold 181,560 units and 131,267 units, respectively.

Aside from the country’s booming vehicle sales, Philippine motor vehicle production has also been the rise, the Asean Automotive Federation report showed.

A total 25,209 units were assembled in the country in the first quarter, 18.4 percent higher from 21,285 units produced in the same period last year.

Aside from the Philippines, only Vietnam recorded higher year-on-year production among the five Asean Automotive Federation members that have local assembly operations.

Philippine vehicle production, however, still has a lot of catching up to do to be at par with production in Thailand (506,874  units), Indonesia (285,093 units), and Malaysia (129,591 units).