Toyota eyes bigger bet on Tamaraw

MANILA, Philippines — Toyota Motor Philippines Corp. (TMP) is ready to make additional investments for the next-generation Tamaraw as it plans to participate in the government’s Revitalizing the Automotive Industry for Competitiveness Enhancement (RACE) program.

During yesterday’s preview of the Tamaraw Class 1 modern public utility vehicle (MPUV), TMP chairman Alfred Ty told reporters that the firm is ready to make a new investment as it plans to enroll the next-generation Tamaraw under the RACE program being finalized by the government.

“We have to wait for the guidelines,” he said.

“They’re (the government) assuring us it’s just in the works, the process of DTI (Department of Trade and Industry) and BOI (Board of Investments),” he said.

The RACE program is intended to succeed the Comprehensive Automotive Resurgence Strategy program, which provides incentives for local vehicle manufacturing.

Unlike the Electric Vehicle Incentive Strategy, which seeks to incentivize the local production of electrified vehicles such as battery electric vehicles, hybrid electric vehicles and plug-in hybrid electric vehicles, the RACE aims to provide support for the manufacture of internal combustion engine or gas or diesel-powered cars.

Earlier, TMP poured in P5.5 billion for the production, parts localization and conversion capabilities of the next-generation Tamaraw, launched in 2024.

The newly unveiled Tamaraw MPUV expands the vehicle’s existing applications in public services, including ambulances, patrol vehicles, fire trucks, food trucks and community shuttles.

Sherwin Chua-Lim, senior vice president at TMP, told reporters that the automotive firm has set an initial target of producing at least 15 Tamaraw MPUV units per month.

“Based on the demand definitely, we will adjust, ramp up our production…We’re doing it to serve the needs of the PUV,” he said.

The potential market for the Tamaraw MPUV is estimated at over 100,000 units.

While there has been positive feedback for the Tamaraw MPUV from the transport sector, Chua-Lim said purchases have not been made yet as claiming subsidies and financing approvals would take time.

The Tamaraw MPUV qualifies for the government subsidy amounting to P210,000 per unit.

Chua-Lim said TMP is in talks with at least 10 transport groups for the possible purchase of the Tamaraw MPUV.

The Tamaraw MPUV is priced at P1.389 million.

Local suppliers tapped by TMP to support the production of the Tamaraw MPUV include vehicle body builder Almazora Motors Corp.

Almazora executive vice president Conrad Almazora said the firm has set up a facility dedicated for the Tamaraw MPUV, which has a capacity of around 300 units per month.

Consolidated supplier investments for the Tamaraw MPUV have reached P555 million.

Ty said the Tamaraw MPUV is a game-changer for public transportation.

“That gives peace of mind to the users and to the owners, to the drivers of the vehicle. There is aftersales service and warranty attached to that,” he said.