Perforce or not, the auto industry is looking at the bright side of a year that saw sales fall more than 40 percent. This includes the biggest player in the local market, Toyota Motor Philippines (TMP).
TMP has come out to say that after the prolonged lockdowns, it sees “several bright spots indicating industry resilience and showing promise of recovery.”
In a press statement, TMP president Atsuhiro Okamoto said: “Even though the past year has been challenging, the market has shown incredible resilience and was able to achieve 242,000 in sales.
“That being said, I am pleased to announce that TMP was able to achieve 100,019 unit sales in 2020, with an expanded share of the market at 41.3 percent.”
Toyota also trusts government to work together with the auto industry to ensure it and the economy will overcome effects of the Covid-19 pandemic.
In the same press statement, TMP chairman Alfred Ty said: “While the automotive industry as a whole may have seen challenging sales at the onset of the pandemic, we also saw gradual growth from the lowest point in May. We expect this increase to continue as Filipinos ease back into their daily routines and resume pursuing the life goals that had to take a backseat in 2020.”
The expected rollout of vaccines and the completion of many Build, Build, Build projects of government and the private sector — especially of roads—are also seen as bright signs for recovery of the economy and the automotive sector.
“We commend the continuous construction of these new roads and highways which will enable economic recovery efforts and bring more joy to driving,” Ty said.
But the brightest signs for growth that TMP sees for the industry “are recent pronouncements by Board of Investments (BOI) officials regarding the possibility of extending the Comprehensive Automotive Resurgence Strategy (CARS) Program.
“We thank the government for considering the extension of the CARS Program. This is very crucial for the existence of local production not only for the existing players but also in attracting additional investment in the industry,” said Ty.
“In this business of the automotive industry, where the market is still at a growing stage and lower-priced vehicles dominate new cars sold, the key to survival is volume. Economies of Scale is much needed to make investments sustainable, whether a Completely Built-Up (CBU) or Completely Knocked Down (CKD) player, or both.”
While government’s imposition of so-called Safeguard duties on imported vehicles is seen as a dark cloud on a bright horizon, Toyota nonetheless remains optimistic for recovery and growth, counting on the support of Filipinos.
“TMP operates on the basis of a combination of locally produced and imported vehicles. We will maximize efforts to promote sales of our Vios and Innova to cushion the impact of safeguard duties. We are counting on the support of Filipinos to BUY FILIPINO,” said Okamoto.
Toyota is also optimistic government will also see the light and work with the industry to find the correct path to further grow the automotive sector.
“We are thankful for the government’s initiative to promote local production. However, the automotive industry is driven by volume and motivated by a wide range of choices. A mix of imported CBU models will still be needed to be able to meet the mobility needs of the country,” said Okamoto.
“We are confident that we will find ways to move forward as we have always done. Together with the government, we are excited to work toward realizing our vision of providing mobility for all,” he added.
Despite the challenging times, TMP remains steadfast in implementing plans for growth, announcing that it will start operations at the P4.5-billion Batangas Vehicle Logistics Hub, a 32-hectare facility near the Batangas Port which will be a gateway for imported vehicles.
The logistics hub will house a Pre-delivery Inspection and Post Production Installation facility with a capacity 160,000 units per year, and a stockyard that can accommodate at least 4,500 cars at a time, said TMP.
“TMP remains committed to supporting the goal of the government to stimulate the economy and to prepare for the eventual resumption of motorization in the country. The auto industry is a key driver of economic activity and an essential part of the drive to increase mobility. At the heart of the Batangas Vehicle Logistics Hub is our promise of making ever better cars for our customers,” said Okamoto.
AMG lineup grows
Mercedes-Benz Philippines has brought in another member of the AMG family—the Mercedes-AMG GLB 35 4MATIC which it describes as a high-performing, passionate, and exceptionally practical crossover SUV available in the Philippine market.
The AMG GLB 35 4MATIC is powered by a turbocharged 2.0-liter, four-cylinder engine that offers 306hp.
This is mated to a AMG SPEEDSHIFT DCT eight-speed transmission and AMG Performance 4MATIC all-wheel drive providing a unique driving experience unlike any crossover SUV in its segment.
Those who want get a firsthand taste of this unique experience can visit Mercedes-Benz showroom at Edsa Greenhills and Bonifacio Global City.
Suggested Retail Price for this new AMG arrival is P5.69 million.
Buy an MG online
You can now buy an MG online. The Covenant Car Company, Inc. (TCCCI) – MG Philippines has opened a new portal called BuyAnMG.com.
This all-new website allows interested buyers to browse through the complete catalogue of locally available MG vehicles.
“MG Philippines has always put online strategy at the forefront of the brand’s position and identity. We have long recognized the importance of a digital-first approach. The introduction of BuyAnMG.com represents the reinforcement of our brand position and a new chapter in our local MG brand story, as well as a notable milestone for all Filipino auto buyers,” said Alberto B. Arcilla, president and CEO of MG Philippines.
Spanish connection
Going back to bright signs for growth, the first set of the fourth-generation light rail vehicles (LRVs) for the LRT-1 and its extension line—the much-awaited LRT-1 Cavite Extension has arrived.
At an unveiling ceremony for the new LRVs, Department of Transportation (DOTr) Secretary Arthur Tugade said the first set of the fourth-generation LRVs in the country will be a big boost to the realization of the LRT-1 Cavite Extension Project.
“As we inaugurate the unveiling and the acceptance of the fourth-generation of cars and trains, I remember distinctly well that 19 years ago, this project (LRT-1 Cavite Extension) was started,” Tugade said.
“Under the Duterte Administration, we pushed and pushed hard. That is why today, we see the steps of the whole realization of this project—the partial operability within this year, by accepting the trains and the cars,” he added.
The first set and second set of fourth generation LRVs were manufactured in Spain, said the DOTr, adding that the second to fourth train sets are already en route to Philippines.
Meanwhile, the remaining LRV train sets (fifth to 30th) are being manufactured and tested in Mexico, with deliveries scheduled for 2022.
Inaugural run
The new trains from Indonesia acquired by the Philippine National Railways (PNR) are expected to provide a better commuting experience to the public after its inaugural run from the PNR Dela Rosa Station in Makati to the Manila Tutuban Station.
The PNR said the new train sets—three new Diesel Hydraulic Locomotives (DHL) with 15 passenger coaches that were built in Indonesia—will serve commuters on the PNR’s Metro Commuter Line which runs from the Tutuban Station in Manila to Los Baños in Laguna.
With the addition of the new train sets, the PNR Metro Commuter Line will be doubling its existing capacity from 48,000 to 60,000 per day.
The train sets have a maximum design speed of 120 km/h, with high clearance for flooded tracks.
Happy Motoring!!!
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