Auto sales still up in February despite slump in passenger cars
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by Land Asia Listings
- March 14, 2017
- News
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Posted on March 10, 2017
http://www.bworldonline.com/
AUTO SALES continued to rise in February but slowed to a single-digit growth rate, dragged by a contraction in sales of passenger cars, industry data showed on Thursday.
“February 2017 sales growth was modest compared to the previous month. Despite supply limitations and fewer calendar days, the automotive industry still continues to serve and satisfy the demand of the market,” CAMPI President Rommel T. Gutierrez said in a statement, referring to January sales growth of 27.8%.
Month on month, total industry sales slumped by 11% in February from 30,425 units sold in January, amid a decline in sales of most types of vehicles.
Across the first two months of the year, CAMPI-TMA figures showed 17.4% more cars sold in 2017 than last year, at 57,465.
Another domestic auto industry group, the Association of Vehicle Importers and Distributors, reports its member companies’ sales separately.
Passenger car sales fell 7.2% in February to 9,114 units, from 9,819 units sold in February 2016. Month on month, passenger car sales slipped 17%.
The commercial vehicles (CV) segment sold 17,926 units in February, a 16.9% jump from 15,331 units sold in the same month last year. However, the month’s sales dropped 7.8% from January figures.
Within the CV segment, sales of Asian utility vehicles (AUVs) surged 29.6% to 5,725 units compared to 4,419 units sold in February 2016.
On the other hand, light commercial vehicles — mostly pickups and sport utility vehicles — went up 9.5% to 11,025 units in February from 10,071 units sold in the same month a year ago.
However, month on month, sales of AUVs and LCVs dropped by 5% and 10.7%, respectively.
February sales of light trucks rose 26.7% to 703 units versus 555 units sold a year ago. Sales of category-4 heavy-duty trucks and buses jumped by 106.3% to 330 units in February, while category-5 trucks and buses rose by 13.5% to 143 units.
In terms of volume, Toyota Motor Philippines Corp. was the top selling company in February with 47.26% market share. Mitsubishi Motors Philippines followed in second place with 16.86% share, and Ford Motor Philippines, Inc. in third place with 6.99% share.
Rounding out the top five were Honda Cars Philippines, Inc. with 6.75% share and Isuzu Philippines Corp. with 5.62% market share.
Car makers are bracing for a slowdown in sales if legislators approve the Duterte administration’s proposal to hike excise taxes on automobiles.
“We think that the sales will continue to grow at a healthy rate. With the increasing incomes of people, the drop in the income taxes, you know, (the car industry) can hit very well another 20% a year. So, I don’t think this will kill the industry, it might slow down the sales, but the sales growth is still going to be very healthy,” Finance Secretary Carlos G. Dominguez III said during a hearing of the House ways and means committee on Package One of the Comprehensive Tax Reform Program (CTRP) last month.
In 2016, CAMPI-TMA reported its member companies’ sales grew 24.6% to 359,572 units from the 288,609 units recorded in 2015.
