After years of breaking records year after year, the automotive industry seems to have finally lost its momentum.
The Chamber of Automotive Manufacturers of the Philippines, Inc. (CAMPI) has released its annual report which show a decline in the annual sales of local car manufacturers.
According to the Philippine News Agency, CAMPI reported that sales for 2018 slumped by 16 percent—which is two points greater than the predicted decline last September.
According to CAMPI’s sales report, its members only sold 357,410 units last year. Compared to the 425,673 units sold in 2017, the automotive industry experienced a 68,253 drop in sales.
Drop in sales for both passenger and commercial vehicles
Both passenger and commercial cars were
How did the automotive industry fare over the past few years in comparison to
Bracing for impact
Since last September, CAMPI has
Under the tax reform program spurred by the Duterte administration, additional taxes will be levied to all vehicles under based on the schedule indicated in the law. However, electric vehicles and pickup trucks were excluded from the additional taxes. Hybrid vehicles will only be slapped with half the excise tax for their rates.
In addition to the excise tax on vehicles,
Meanwhile, former Mitsubishi Motors Philippines vice president Froilan Dytianquin wrote on Visor that the worsening inflation rate last year also shot
“So, why did vehicle demand lose steam?
“Buyer confidence worsened due to the high inflation rate, which hit a nine-year high of 6.7% in September. All
Meanwhile, CAMPI president Rommel Gutierrez is hopeful that the economic cooldown will finally pave the way towards more units sold in 2019.
“The auto industry has been recovering since the second half of 2018. We are confident that the
Tale of the tape
Based on the figures published by Visor, Toyota emerged as the most successful vehicle brand in the Philippines, with a market share of 38.42 percent.
Although the Japanese manufacturer
However, not every manufacturer had a turbulent 2018. Nissan, which ranked fourth in terms of units sold, posted a 39.84 percent increase from 2017’s 24,995 units to 35,401 vehicles last year.
In a press release by Nissan Philippines, the company said that its popular pickup, the Navara, served as the main driver for the brand’s growth. The Navara alone constituted 46.2 percent of Nissan’s 2018 sales. Meanwhile, Suzuki said that its multi-purpose vehicle Ertiga accounted to one-third of the brand’s 2018 units sold.
Here are the other figures for the top 10 bestselling brands in the Philippines based on the numbers published by Visor:
CURRENT MARKET SHARE