Motorcycle sales up as Pinoys try to beat traffic
The Philippines is being regarded as the new frontier for the motorcycle industry in the Southeast Asian region as it continued to post the highest growth rate in terms of sales.
Rodel Pablo, president of the Motorcycle Development Program Participants Association (MDPPA), said in a briefing on Thursday the local motorcycle industry was expected to sell a total of 1.5 million units this year. For MDPPA members alone, sales are expected to breach the 1-million mark from the 850,509 units sold in 2015.
“The introduction of affordable but reliable motorcycle models propelled the sales performance of MDPPA member manufacturers. The traffic congestion in major cities, such as Metro Manila, also prompts commuters to look for alternative modes of transportation. Commuters consider motorcycles as a fast and affordable transportation alternative,” Pablo said.
MDPPA members, which account for 70 percent of the total motorcycle market, include Honda Philippines Inc., Kawasaki Motors Philippines Inc., Yamaha Motor Philippines Inc., Suzuki Philippines Inc. and Kymco Philippines Inc.
In terms of sales volume, the Philippines still continued to trail behind countries like Indonesia, Pablo admitted. In terms of growth rate, however, the Philippines consistently had one of the highest in the region.
Data from the Asean Automotive Federation (AAF) showed the Philippines had the highest sales growth of 42.4 percent compared to four other Asean member states as of end June this year. In terms of volume, the country ranked third after Indonesia, which sold 3.1 million motorcycles and scooters, and Thailand, which sold 910,009 units, according to the AAF.
Pablo said the country’s strong economic performance, which has resulted in an increase in per capita income, significantly contributed to the industry growth.
“The flourishing sales figures of the motorcycle industry are a clear indication of how the country’s improving economy contributed to the group’s mid-year performance. Business motorcycle numbers, for instance, show that many of our countrymen are making a living through tricycles or that many small and medium sized enterprises are using motorcycles in their daily operations for delivery services,” Pablo explained.
Data from the MDPPA showed the group’s motorcycle sales grew 42 percent to 544,699 units in the first half of 2016, exceeding members’ previous projections. Of this number, about 95 percent are locally assembled while the rest are imported.
