Philippine auto sales continue its upward trend once more in October by 12.9-percent, bringing the industry closer to attaining its target sales for the year. A total of 12,761 units were sold in October surpassing September's already higher 11,304 sales. With the increased sales activity for September and October, overall year-to-date sales resulted to a 1.3-percent gain for the ten-month peroiod of selling this year thus far. Compared to the same month last year, sales performance was also stronger by 20.1%.
"The industry is optimistic that it will hit its minimum target of 125,000 units sold for the year. Auto players have aggressively offered a wider product line coupled with low cost financing packages to help buyers purchase their vehicles. The goal was to sustain sales, preventing it from dipping into negative territory," says Elizbaeth Lee, CAMPI President.
Compared to its ASEAN neighbors, the Philippine auto industry has done fairly well this year, as countries like Thailand, Indonesia, Malaysia, showed double-digit declines in their sales figures However, the Philippine industry still has to catch up with its neighbors in terms of overall volume.
The industry also credited the strong sales performance in October to promotions by assemblers, dealer activities, on-time arrival of stocks and replacement purchases for typhoon affected carowners. Despite registering a flat year for 2009, passenger car sales manage a slight uptick of 5.8-percent in October compared to the previous month. Commercial vehicles on the other hand, continued to carry the growth with a 2.3-percent year-to-date growth and 16.9-percent increase in October against September, selling a total of 8,463 units for the month.
Within the commercial vehicle category, the popular LCV segment, which is comprised of pick up trucks, vans, & c-wagons, continued to be contribute to the bulk of sales increasing by 13.5-percent selling 5,182 units for October. LCVs sales remains strong registering a growth of 10.7-percent for the first ten months of the year. Despite registering a 22.9-percent increase in October with 2,951 units sold, AUVs still showed a decline of more than 9-percent as consumers choose newer models in other segments.
"Overall, industry players are optimistic that targets can be achieved barring any major negative developments. Banks have continued to support the industry with availability of financing at lower rates, OFW remittances which are seen to increase during the holiday season will continue to support consumption, and players are offering promotions which make acquisition easier, in time for the holidays" says Ms. Lee.