Car sales jumped 18.4 percent in 2017 to a record 425,673 units from 359,572 units in 2016, ahead of the implementation of new excise tax rates on vehicles this year, two groups said Wednesday.
The Chamber of Automotive Manufacturers of the Philippines Inc. and the Truck Manufacturers Association said in a joint report the actual 2017 sales exceeded both groups’ combined sales target of 400,500 units for the year.
The numbers excluded those reported by other industry groups such as the Association of Vehicle Importers and Distributors Inc. The target for the entire industry including sales of Avid members was set at 450,000 units.
“We ended 2017 with a positive note. Aggressive promos, new model updates and the hard work of members helped contribute to expanding the Philippine market,” Campi president Rommel Gutierrez said in a statement.
Gutierrez said the industry was cautious in its forecast for 2018, following the passage of the Tax Reform for Acceleration and Inclusion law.
“While exceeding our sales target for the year, we remain cautious in our projection for 2018. Campi remains confident that the market will be able to adjust to the new auto excise tax in 2018,” said Gutierrez, who is also an executive of Toyota Motor Philippines Corp.
Passenger car sales increased rose 4.7 percent in 2017 to 139,424 units from 133,188 units in 2016, while commercial vehicle sales surged 26.4 percent to 286,249 units from 226,384 units.
Data showed that in December alone, Campi and TMA members sold 45,494 units, up 33.4 percent from 34,104 vehicles delivered a year ago.
Passenger cars sales went up 13.4 percent in December to 14,182 units from 12,510 units a year earlier, while commercial vehicles jumped 45 percent to 31,312 units from 21,594 units.
Toyota Motor Philippines Corp. remained the top seller with 43.2-percent market share in 2017. It was followed by Mitsubishi Motor Philippines Corp. with 17.29 percent; Ford Motor Company with 8.6 percent; Honda Cars Philippines Inc. with 7.46 percent; and Isuzu Philippines Corp. with 7.07 percent.