The Chamber of Automotive Manufacturers of the Philippines Inc. (CAMPi) said the industry is unlikely to reach this year’s 500,000-unit sales target, as demand continues to soften.
CAMPi president Jose Maria Atienza told reporters on Wednesday that year-to-date sales are running 8 to 10 percent below expectations, reflecting weaker consumer appetite amid rising fuel costs.
Higher pump prices have led many buyers to defer purchases, dragging on overall market performance.
Despite the subdued outlook, the industry is seeing a steady pivot toward electrified vehicles. As of April, these models account for roughly a quarter of total sales—up from near zero five years ago—as automakers rebalance their lineups between electrified options and internal combustion engine (ICE) vehicles.
CAMPi is also urging an extension of incentives under the Electric Vehicle Industry Development Act (EVIDA), which provides zero tariffs on imported electric vehicles but is set to expire in 2028.
While the group supports proposed manufacturing incentives under the Electric Vehicle Incentives Strategy (EVIS), it emphasized the need to sustain support for ICE vehicle assembly.
Atienza noted that demand for ICE vehicles remains strong, particularly among micro, small, and medium enterprises, where utility models such as one-ton pickups and light commercial vehicles remain essential for provincial operations.
He added that continued government backing—through past programs like the Comprehensive Automotive Resurgence Strategy and emerging EV-focused policies—will be key to maintaining the broader automotive ecosystem.
CAMPi is set to stage the 10th Philippine International Motor Show from June 4 to 7 at the World Trade Center, featuring 17 automotive brands, 80 aftermarket partners, and around 150 vehicle models, about half of them electrified.
