Hyundai Asia Resources Inc. (HARI) is looking to make Mindanao as the next hub of the local automotive industry. In support of the government's infrastructure agenda, HARI aims at boosting its dealer network in Mindanao thanks to the region's strong economic performance reported last May 2017.
Based on regional growth statistics, Davao's economy grew to 9.4-percent in 2016 thanks to a surge in construction (grew to 25.8-percent from 10.8-percent) in the same year. Meanwhile, Northern Mindanao posted a record-high growth in the last six years with its gross regional domestic product reaching Php 305 million in the same period.
Currently, HARI has a total of four dealerships in the region; Cagayan De Oro, General Santos, Southern Mindanao (Davao) and Zamboanga City. With HARI expecting a boost in transport and construction comef 2018, the company is aiming to increase its capacity and resources in anticipation.
“Infrastructure helps in leveling the field for growth, allowing cities and provinces to maximize their full potential particularly for Mindanao. It’s encouraging not only for Hyundai, but for the rest of the business community to expand our presence in the country further,” said HARI President and CEO, Ma. Fe Perez-Agudo.
With the government's massive 'Build, Build, Build' infrastructure program expected to take off in 2018 with a Php 1 trillion budget, public construction will likely see a tenfold increase. In addition, the private sector is expected to follow suit as the government also plans to accelerate spending on making more roads, bridges, seaports and airports nationwide.
With it, HARI hopes to complete ten commercial division dealerships in ten key locations across the country by the end of 2018. These soon-to-rise dealerships will be situated in growth centers such as CALABARZON, Western Visayas and Mindanao. By 2020, Hyundai's commercial division is planning to have 20 locations.