Industry starts new year with strong double digit growth
The Philippine auto industry started the new year with strong sales of 11,763 units for the month of January, this translated to a higher than expected 33.8% growth compared to the same period last year. Passenger Car sales totaled to 3,856 units besting last year's figures by 14.3%. Commercial Vehicles continues its dominance with a strong 46% growth, selling 7,907 units for the month of January.
"We are looking forward to a much stronger growth for this year 2010 with increased spending as a result of bullish OFW remittances projected as high as 8% or exceeding $18 billion; increased appetite for investment and business expansion; continued liquidity in the market; ease in taking out loans and availability of loans serving buyers needs; not to mention this being an election year as well," says Ms.Elizabeth Lee, CAMPI President.
She further adds that "to a certain extent, strong vehicle sales is reflective of a stronger economic environment. With the robust growth of CV sales partiularly AUV and LCV sales where most are used for both family and for business use, Filipino's are now showing more aggressiveness in either starting a business or expanding their current businesses."
Buyers will have a lot to look forward to from the auto industry this year with the planned 3rd Philippine International Motor Show (PIMS) as well as new model introductions from several brands, giving buyers more choices to serve their needs.
Passenger Car sales continue to remain positive with higher sales of 14.3% vs the same period last year. Analysts are expecting continued growth for the coming months.
Commercial Vehicle sales continue to dominate overall auto sales nationwide with 67.2% total market share and with a 46% jump in sales compared to the same period last year, the industry is certain that this figure will continue to grow. Continuous market demand for AUVs has driven sales up by 53.5% compared to the previous year. Light Commercial Vehicle sales which consist of pick up trucks, vans, compact SUVs and full SUVs continue to dominate the CV segment with a robust growth of 46.7% versus the same period last year.
Even the expected decline from the usual December high sales vs January (-13.5%), the sales volume for the 1st month of the year (11,763 units) still bested lasted year's monthly average of 11,073. Despite the expected decline, January sales still outperformed the past year's average sales volume. The sharp growth in this segment further validates the growing trend of buyers preference towards dual purpose vehicles used for both personal and business use.
"A high January sales volume augurs well for the year. It is a good start for stronger sales for 2010," says Ms.Lee.