Overall vehicle sales still up 10% despite October decline
Automakers still optimistic with 125,000 unit forecast
Even with a -2.9% decline in sales for the singular month of October vs. Sept sales, total industry sales still registered a 10% growth for the 1st 10 months of the year. The Oct sales result of -2.9% is relatively minimal compared to the decline in sales of other developed countries ( i.e. 30% decline in US Oct auto sales). Local automakers continue to be cautiously optimistic, supporting the original forecast of 125,000 units to be attained by the end of the year. The figure will be the highest auto sales volume in a decade.
"Although the effect of the global crisis on the local auto industry is relatively minimal at this point in time, players are preparing for measures to guard against the devastating effect the crisis has had on other larger, mature, foreign auto markets. Aggressive inventory management to maintain optimum cash flow will be priorities for local operations. At the same time, a market offensive stance to help mitigate the dire effects of the global meltdown locally, is for the government to aggressively support & encourage entrepreneurs / SMEs most especially during these times. " says Ms. Elizabeth Lee, CAMPI head.
"One of the possible 'side effect' of some OFWs coming back home is that they will be 'forced' to become dual income earners in the short to mid-term. Most may choose to become entrepreneurs against the backdrop of declining job opportunities as a result of the crisis. Bad times could somehow create some good opportunities for entrepreneurs. They must be supported as they are a significant engine for growth. " says Ms. Lee.
For the remainder of the year, buyers can take advantage of the the last quarter sales programs of most brands while at the same time enjoy the current price levels which have yet to reflect the full impact of the increase in raw materials and logistics cost.
Passenger Cars overall increased by 12.3% for the first 10 months although a decline of -11.3% was seen for the month of October. Total PC sales so far are 37,573 units.
Commercial Vehicles with a total sales volume of 67,184 units continues on its growth path with a positive growth of 8.8% year to date with a 2.7% growth in October, adding sales volume to the popular sub-segments of pickups, AUVs, and vans. CVs corner 65% of all vehicles sold nationwide as majority of Filipinos continue to buy multi-purpose vehicles used for both family and business use.
Sales of pickup trucks remain very strong with a 40% growth so far for the year. The month of October proved to be a good month for this sub-segment as well with a 15.14% growth for Oct vs Sept sales. Van sales continue to grow with about a 12% growth so far this year.