Toyota backs RACE alongside EVIS to spur investments

August 4, 2026

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Toyota Motor Philippines (TMP) is optimistic the proposed Revitalizing the Automotive Industry for Competitiveness Enhancement (RACE) Program will be rolled out alongside the government’s Electric Vehicle Incentive Strategy (EVIS), saying the twin initiatives would strengthen the country’s automotive manufacturing base while accelerating the transition to cleaner mobility.
In a statement, TMP welcomed Executive Order No. 121, which institutionalizes the EVIS program, describing it as a significant step toward building a more competitive and future-ready automotive industry.
“TMP is optimistic that EVIS, especially when simultaneously implemented with the Revitalizing the Automotive Industry for Competitiveness Enhancement (RACE) Program, will generate broad economic benefits beyond the automotive sector, safeguarding thousands of Filipino jobs and uplifting local MSMEs,” the company said.
The automaker said EVIS could attract fresh investments, encourage local parts manufacturers to expand operations and improve their competitiveness across different vehicle powertrain technologies, from conventional engines to hybrid and battery electric vehicles.
The statement reflects growing industry support for the government’s dual-track strategy of promoting vehicle electrification while preserving the country’s existing automotive manufacturing ecosystem. Industry players have argued that strengthening local supply chains alongside EV investments is essential to keeping the Philippines competitive against regional manufacturing hubs.
The Marcos administration recently launched the P60-billion EVIS incentive package, which offers investment and production incentives for up to 10 years to qualified manufacturers. Eligible projects may receive fixed investment support of up to 40 percent of qualified capital expenditures for battery electric vehicle production, along with incentives tied to locally manufactured EV output.
The program is expected to complement the proposed RACE Program, which seeks to utilize the remaining P9 billion under the Comprehensive Automotive Resurgence Strategy (CARS) fund to sustain investments while the government finalizes a longer-term roadmap for the sector.
Toyota has already expressed interest in participating in RACE, underscoring the industry’s view that a coordinated policy framework, rather than stand-alone incentives, will be key to attracting long-term manufacturing investments, expanding domestic parts production and preserving the Philippines’ position in the increasingly competitive regional automotive industry.