By Justine Irish D. Tabile, Reporter
NEW AUTOMOBILE SALES marginally increased by an annual 3.6% in June, aided by a double-digit rise in commercial vehicle transactions that mitigated a 35% downturn in passenger car sales, as indicated by an industry report.
A collaborative report from the Chamber of Automotive Manufacturers of the Philippines, Inc. (CAMPI) and the Truck Manufacturers Association (TMA) revealed that new automobile sales climbed to 40,483 units in June from 39,088 units during the same month last year.
Comparatively, auto sales rose by 1.8% from 39,775 units sold in May.
In June, sales of passenger cars fell by 34.9% to 6,922 from 10,628 units sold in the same month in 2024. Month on month, sales decreased by 12.32% from 7,895 units sold in May.
“Despite passenger car sales reaching 6,922 units, ongoing market transitions and shifting consumer preferences create openings for innovation and recovery within this segment,” stated CAMPI President Rommel R. Gutierrez in a statement on Monday.
On the other hand, commercial vehicle sales, which represented 82.9% of June’s total sales, surged by 17.9% to 33,561 from 28,460 units last year. Month on month, sales rose by 5.3% from 31,880 units in May.
Specifically, light commercial vehicle sales grew by 25.3% year on year to 25,501 units in June, while sales of Asian utility vehicles ticked up by 0.3% to 7,199.
Sales of light-duty trucks and buses increased by an annual 6.4% to 532 units, whereas sales of large trucks skyrocketed by 41.5% to 58. Sales of medium trucks declined by 30% to 271 units in June.
For the January-to-June timeframe, new automobile sales rose by 2% to 230,912 units from 226,279 units last year.
Passenger car sales dropped by 23.8% to 45,647 in the first half from 59,875 in the same span last year.
Sales of commercial vehicles increased by 11.3% to 185,265 units in the first six months compared to 166,404 a year ago.
“As the sector moves into the second half of the year, manufacturers and dealers are concentrated on improving customer satisfaction, launching updated vehicle models, and facilitating market recovery across all segments — including passenger cars,” Mr. Gutierrez noted.
Philippine Institute for Development Studies Senior Research Fellow John Paolo R. Rivera indicated that the drop in passenger sales mirrors consumers’ apprehensions about high interest rates, elevated fuel costs, and prevailing economic uncertainty.
“High interest rates, soaring fuel and maintenance expenses, and economic instability are likely suppressing demand for significant purchases like cars,” he mentioned in a Viber message.
“Simultaneously, we may be witnessing a structural change in mobility choices as more Filipinos are turning to shared, digital, or more budget-friendly transport alternatives instead of acquiring new vehicles,” he added.
Meanwhile, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort suggested a possible demand shift from passenger cars to motorcycles amidst global economic uncertainties due to Mr. Trump’s tariffs.
“(Motorcycles) are less costly to obtain and maintain, can navigate heavy traffic more efficiently, and occupy less space in parking spots at homes and commercial areas,” he remarked in a Viber message.
“There is also a rising demand for motorcycle taxis and delivery services as an alternative to passenger cars and commercial vehicles,” he added.
Additionally, Mr. Ricafort noted that electrified vehicles (EVs), including hybrids, are emerging as new sources of demand for the industry.
The influx of EV companies into the country provides consumers with greater choices regarding price, technology, and quality, he added.
“It becomes increasingly responsive to customers’ ever-evolving demands… with improved terms and pricing,” he added.
In June, the sector recorded 3,057 EV sales, a decline of 15.4% from the 3,613 units sold in May, as sales of battery EVs dropped by 17.5% to 660 and hybrid EVs fell by 15.7% to 2,355 units. Plug-in hybrid EVs saw a month-on-month increase of 110% to 42 units in June.
For the first half of the year, EV sales totaled 13,490 units, capturing a 5.84% market share.
Toyota Motor Philippines Corp. continued to lead the market, with sales of 111,276 units from January to June, up 6.6% from 104,350 units the previous year. It held a 48.19% share of the market.
Mitsubishi Motors Philippines Corp. secured the second position with a market share of 19.06% following a 3.3% annual increase in sales to 44,021 units in the first six months.
In third place was Nissan Philippines, Inc., which reported a 14.9% decline in sales to 11,859 units. Its market share stood at 5.14%.
Completing the top five was Ford Motor Co. Phils., Inc., which experienced a 24.3% decrease in sales to 10,953, and Suzuki Phils., Inc., which recorded an 11.2% rise in sales to 10,732 units.
For this year, CAMPI has established a sales goal of 500,000 units. Last year, the industry achieved sales of 467,252 units.
