New Energy Vehicles driving growth in the auto sector

The sales of New Energy Vehicles (NEVs), subsidies from the government, and high marketing and advertising efforts that automakers themselves are maximizing all are the contributing factors to the automotive sector's hopes of another record high for 2025.

The Philippines Chamber of Automotive Manufacturers (Campi) believes that its members would easily exceed this year's target of 500,000 units sold from about 467,000 units sold in 2024 because the outlook is so rosy.

Auto sales in the first two months of the year went up 6.4 percent, as reported by Campi and the Philippine Truck Manufacturers Association (TMA). A total of 76,768 units were sold, up from 72,132 units sold in the same period last year, 2024. Overall car sales in 2024 rose 8.7% to 467,252 units from 429,807 units in 2021. Commercial vehicle sales, or light trucks, made up 75% of total sales and rose 8.1 percent to 346,482 units from 320,543 units in the prior year.

Sales of passenger cars increased by 34% to 120,770 units from 109,264 the previous year. However, only 25% of all vehicles sold last year came from this segment. With 253,412 units sold, up 2%, vans and pickups topped the commercial vehicle market.