Toyota Motor Philippines Corp. and Mitsubishi Motors Philippines Corp. have been formally accepted under the government’s Comprehensive Automotive Resurgence Strategy (CARS) program.
The approval of the two companies’ participation under the CARS program was also expected to provide a significant boost for the local automotive manufacturing industry.
Trade Secretary Adrian S. Cristobal Jr. said Tuesday that the certificates of award were set to be granted to the two automotive assemblers today.
“It’s now just a matter of formalities. We will be granting certificates to the car manufacturers that have qualified for the CARS program. This program is ongoing but what to do with the rest of this program will now be up to the incoming administration,” Cristobal said.
The outgoing trade chief was referring to the third slot for the CARS program which was not taken up as there were only two car manufacturers that have applied.
Under this scheme, the government offers P27 billion worth of incentives to local assemblers who can produce 200,000 units for a single model over a six-year period. However, only three slots will be made available under the program, which is expected to attract more than P27 billion in new parts manufacturing investments.