AUTO INDUSTRY NEWS

Report: Ayala Corporation sees electric vehicle assembly in the future

Report: Ayala Corporation sees electric vehicle assembly in the future image

Anton Andres / Volkswagen | September 15, 2017 16:12

Ayala Corp. to further invest in electric vehicles

With electric cars gaining even more traction this decade, Ayala Corporation chairman and CEO, Jaime Zobel de Ayala, said that the company wants to be one of the pioneers of the 'electric revolution' in the ASEAN region. Zobel de Ayala said that, with the shift to electric vehicles, now is a good time to further invest in the automotive sector.

The CEO said that there is a massive shift happening in the automotive industry with manufacturers shifting from the internal combustion engine to the electric motor. With Ayala Corporation also owning an electronic manufacturing arm, Zobel de Ayala added that the company should take advantage of the changes taking place and build a product portfolio around it. He also mentioned that Ayala Corporation has invested 'about $150 million' in the automotive and motorcycle sector.

At the moment, Ayala Corporation owns assets in Honda Cars Philippines Inc. and Isuzu Philippines Corporation with a 100 percent stake in Volkswagen Philippines. On top of that, the conglomerate is building KTM motorcycles in Laguna for distribution locally and in certain parts of Asia. Ayala Corporation has also significantly invested in the area of autonomous driving with the goal of making the country one of the hubs for testing self-driving cars. More recently, they have acquired a 94.9% stake in MT Misslbeck Technologies GmbH, a German supplier of models, tools, and plastic parts maker for €26.8 million.

Zobel de Ayala believes that Ayala Corporation is also a 'major participant' in vehicle manufacturing, crediting the acquisition of MT Misselbeck. While he mentioned that building cars under Ayala Corp are not ready just yet, he believes that the company's portfolio will be able to produce vehicles in the future. Aside from that, the CEO sees a lot of potential in China. Given that China is planning to ban internal combustion engines at some point in the future, it is possible that Ayala Corporation may be building vehicle batteries, should the plans come into fruition.  

Source: Bloomberg