Parts manufacturing.

The Philippines’ strict adherence to World Trade Organization (WTO) rules has left its automotive industry lagging behind regional neighbors like Thailand and Indonesia, says Ferdi Raquelsantos, president of the Philippine Parts Makers Association (PPMA). He says local content in domestically assembled vehicles dropped to just 20 percent to 30 percent, compared to Indonesia’s 40 percent to 80 percent. The number of local assemblers also declined, with only a handful of major players remaining.