Vehicle sales to hit 210,000 units in 2013

The local automotive industry is more bullish this year as it raised its vehicle sales target to 210,000 units from a previous goal of 200,000 units.

The Chamber of Automotive Manufacturers of the Philippines Inc. (Campi) and the Truck Manufacturers Association (TMA) raised their sales forecast as their member companies alone had breached the 100,000-mark in the number of vehicles sold in the first seven months of the 2013.

Documents from Campi and TMA showed that from January to July this year, vehicle sales rose 18 percent to 102,913 units from the 87,374 units sold during the same period last year. In July alone, vehicle sales jumped 10 percent to 15,686 units from 14,239 units in June.

“The country’s continued strong [economic] performance augurs well for the industry.  Surely we are now on the road to full motorization,” noted Campi president Rommel Gutierrez.

Gutierrez also cited the country’s recent credit-rating upgrades, which are expected to bring in more investments not only in the stock market but in real manufacturing ventures.

The second half of the year could draw in bigger sales, according to Gutierrez, as the last six months of the year usually saw the introduction of new models and bigger promotion packages.

“The entry of new players is further expected to contribute to more models. The latter part of the year will bring in increased OFW remittances leading to bigger purchasing power,” Gutierrez added.

He said Campi members were expected to sell an average 15,500 units a month or a total of 93,000 units for the second semester. This will bring the group’s total sales to about 180,000 units, of which 36 percent (65,000 units) will come from passenger car sales and the remaining 64 percent (115,000 units) from commercial vehicles. Together with the sale of other importers, the total industry sales target for 2013 is expected to go up to 210,000.