The Philippine automotive industry reduced its five-year sales target by at least 10 percent following the government’s imposition of safeguard measures on imported units.
KIA president Manny Alegado said in a presentation the industry was now expecting a slower path to recovery under the auto safeguards regime. Based on its recalibrated statistics, the industry was expecting sales to reach 397,000 units by 2025, down from a previous estimate of 439,000 units which was made before the Trade Department imposed the safeguard measure.
Industry officials said it might take more than five years to match the 2019 sales level of 416,637 units, with safeguards in place.
The Chamber of Automotive Manufacturers of the Philippines Inc. said sales might recover to 273,000 units in 2021 from 250,000 units registered in 2020 which was affected by the pandemic. The revised figure was lower than the previous projection of 301,000 units which was made without the safeguard tariff.