The Philippine automotive industry expects modest growth this year with total vehicle sales projected to reach 503,000 units, Chamber of Automotive Manufacturers of the Philippines Inc. (CAMPI) president Jose Maria Atienza said.
“The foundation of the market itself is quite strong. We’re very hopeful that the market will reach 503,000 units,” Atienza said.
The forecast represents an increase of 2.0 percent to 2.5 percent from the 491,395 units sold in 2025, when the industry narrowly missed its 500,000-unit target.
Atienza said the actual performance would depend on how demand trends evolve as the sector seeks to recover from a slowdown observed during the second half of last year.
While momentum was strong in the first half of 2025, growth softened due to macroeconomic pressures, adverse weather and earthquakes.
“We saw a big drop in pickup sales, but there are growth segments as well,” Atienza said, noting the increased demand for electrified vehicles and strong performance in multipurpose vehicle segments.
Growth in 2026 is expected to be led by electrified vehicles, which saw sales more than double last year to account for 12 percent of the total market. Multipurpose vehicles also showed resilience amid the shifting consumer preferences.
The market appears to have bottomed out and may begin growing more steadily in the second or third quarter of 2026 as consumer confidence improves.
“I believe that this year will be better compared to 2025. EV sales will continue to contribute to the growth, as preferences shift,” Atienza said.
