Former Ilocos Sur Governor Luis “Chavit” Singson has partnered with South Korean investors to develop a manufacturing facility on a two-hectare property in Bataan that will produce electric vehicles (EVs) for the country’s public transport sector.
Singson, who made his billions from the Virginia tobacco business, told a morning briefing of the Tuesday Club at EDSA Shangri-La that the project aims to address the high cost of EVs that has stalled the transition of public utilities to electricity-powered transport.
Singson said transport groups who met with him months earlier have complained about the high cost of EVs and a stumbling block to compliance with the government policy promoting the use of EV in public transport, including tricycles, to reduce pollution. He said drivers and transport operators were willing to pay P2.4 million for a modern vehicle that will replace the diesel-powered jeepney.
“I will sell better electric vehicles to them (jeepney drivers and operators) at P1.2 million each at zero-interest rate,” said Singson, who also owns distribution rights for Chinese car manufacturer GAC, whose GAC Aion is the third-largest producer of EVs in the world.
Singson didn’t provide details on the cost of building the factory and other funding requirements. But he provided a glimpse into the magnitude of the project. “We will produce millions of vehicles that would replace jeepneys and tricycles across the country,” he said.
According to him, the production of EVs in Bataan should start early next year since construction work is already in the final stages.
Just last month, the Department of Trade and Industry signed a deal with its South Korean counterpart on the supply of critical raw materials to boost the local electric vehicle industry.
According to Seoul’s Ministry of Trade, Industry, and Energy, the cooperation will include the development of supply chain, trade facilitation, and research and development.
Under the R&D partnership, Manila and Seoul will ensure the adaption of new technology, especially on rehabilitating mines and practicing sustainable mining. The partnership lasts for five years from the date of signing, extendable for another three years upon mutual agreement.
