Toyota Motor Philippines Corp. (TMP) is navigating supply disruptions and changing consumer behavior while sticking to a multi-path strategy that spans hybrids, electric vehicles, and internal combustion engines, its president Masando Hashimoto said.
Speaking during a Manila meeting attended by former Japanese Prime Minister Fumio Kishida and envoy Sanae Takaichi on April 30, Hashimoto said the company is making “weekly operational decisions” as it monitors delivery schedules and inventory levels.
“We sense conditions are gradually improving,” he added.
The disruptions stem partly from energy constraints linked to tensions in the Middle East, which have affected operations at TMP’s Santa Rosa plant.
Liquefied petroleum gas (LPG) used in paint ovens has faced unstable supply since April, with on-site storage covering only about 10 days. Petroleum-based inputs such as plastics, paint thinners, and engine oils are also under close watch.
TMP, which has operated in the Philippines since 1988, manufactures models such as the Vios, Tamaraw, and Innova locally. The plant has an annual capacity of 60,000 units and employs around 4,000 workers.
On the demand side, the company is seeing a clear shift. Total Toyota vehicle sales fell 14% year-on-year in April, while hybrid and electric vehicle sales jumped 270 percent to 2,780 units. Combined sales of the Tamaraw and Vios surpassed 3,000 units.
“With ongoing fuel price hikes, there is clearly growing hesitation among consumers,” Hashimoto said. “Yet even within constrained purchasing power, demand remains very strong for fuel-efficient and commercial vehicles.”
He added that Toyota’s diversified lineup helps cushion volatility. “Our approach is guided by two priorities: maintaining business continuity without panic, and responding steadily to customer needs.”
Hashimoto also pointed to biofuels as a near-term solution, saying higher ethanol and coconut-based blends could reduce dependence on crude oil while supporting the Philippines’ 3.1 million-vehicle market and its engine-related employment base.
