THE Philippine automotive industry saw stellar growth in 2015 as total vehicle sales increased 28 percent, surpassing the industry target of 320,000 units amid strong demand for imported models.
Data provided by the Association of Vehicle Importers and Distributors Inc. (AVID) showed that sales of imported vehicles last year surged 65 percent to 58,712 units versus the 35,593 sold in 2014.
Sales of locally made vehicles hit 288,609, bringing total vehicle sales for the year to 347,321, up 28 percent from the 270,340 sold in 2014.
“AVID is delighted to reach another milestone as it significantly grew by 65 percent, anchoring on the strong domestic demand condition as the country enjoys economic surge. AVID will sustain this momentum through relentlessly finding ways to respond and adapt to the evolving consumer needs and preferences,” Ma. Fe Perez-Agudo, AVID president, said in a statement.
AVID said the double-digit growth in total vehicle sales in 2015 is expected to continue this year “given the continued stability in the monetary environment.”
“Sustained growth in vehicle demand mirrors bullish consumer confidence, challenging local players to keep on playing their A game in product and service offerings,” AVID said.
For completely built units (CBUs) or imported vehicles, AVID said most of the revenues in 2015 came from light commercial vehicles (LCVs), of which 36,326 units were sold in 2015, a 112-percent jump from 17,125 units logged the year before.
For the fourth quarter alone, sales of imported LCVs more than doubled to 13,057 units from 4,135 units in the same quarter in 2014. This is attributed to the share of Ford Philippines, which is a new AVID contributor.
Imported passenger cars saw a 21 percent increase in sales to 22,386 units from 18,468 units a year ago. Imported passenger car sales in December also climbed by 53 percent to 6,739 units from 4,417 units the previous year as Hyundai led the growth with a 10 percent sales increase.
Earlier, the Chamber of Automotive Manufacturers of the Philippines Inc. (Campi) and Trucks Manufacturers Association (TMA) released their 2015 annual sales reports for locally made vehicles.
According to Campi and TMA data, car sales totaled 288,609 units, much higher than the annual Campi target of 272,000 and the 234,747 units sold in 2014.
Campi’s Rommel Gutierrez earlier said that the whole auto industry—local and importer vehicles altogether—is expected to sell anywhere from 320,000 to 350,000 units this year given the strong economic environment.