2023 Philippine auto industry sells over 441,408 vehicles; reaches pre-pandemic levels

Philippine auto sales for 2023 breached the forecasted 423,000 unit target with an 18.93% increase year-on-year to 441,408 units. This is based on the consolidated reports from CAMPI, TMA, and independent distributors.

Philippine Auto Sales 2023: 441,408 vehicles sold, 18.93% growth image

Commercial vehicles (which include SUVs, MPVs, pick-ups, crossovers, trucks, and buses) further increased their share of the market with 74.84%, registering 330,368 units; passenger car sales totaled 111,039 units to take the remaining 25.16%. While the preference toward MPVs and SUVs is still strong; there was a slight increase in passenger vehicle demand.

Fresh brand new model offerings, new brand entrants into the market, increased economic activity, and more bank loan approvals were seen as key drivers to the continued growth of the auto industry in 2023.

"2023 was a very strong year for the industry and we are very excited about 2024. Positive economic outlook, new model introductions, and the electrification trend are expected to contribute to record-breaking sales this year,” said Atty. Rommel Gutierrez, CAMPI president.

Philippine Auto Industry logs 441,408 vehicles sold in 2023; grows 18.91% image

Top 5 Brands

Toyota continued its market dominance with a 44.9% market share with 198,188 units sold. Toyota sales grew 14.4% from the previous year's 173,245 units. 

Mitsubishi Motors improved its second-place standing with 78,371 units compared to its 2022 total of 53,211 units sold. The three diamond star brand ended the year strong with a 47.3% growth and improved its market share to 17.75%.

Ford maintained its third overall position from the previous year, with a total of 31,320 units compared to its 24,710 units total sales in 2022. The American automaker’s sales increased by 26.75% capturing 7.1% of the market.

Nissan retained fourth position, its 27,136 unit total was 27.9% more than its previous year’s 21,222 unit total; aggressive market and unit availability were key drivers.

Suzuki stays fifth, selling 18,454 units. They posted a 7.5% decline compared to 19,942 units sold in 2022.

Philippine Auto Sales 2023: 441,408 vehicles sold, 18.91% growth image

6-10

Isuzu maintained its standing in sixth with a very slight 0.2% decline; the company sold 17,607 units against 17,639 units from the previous year.

Honda stayed seventh with 16,645 units sold compared to 13,923 units in 2022 for a 19.6% increase. New model releases contributed significantly to Honda’s growth.

Hyundai is back in the top 10 at eighth with a 9,130 unit total as it operated its first full year after establishing itself as a local subsidiary. We can expect the Korean brand to continue its trajectory with new model introductions and renewed interest and confidence from customers and banks.

Geely dropped down to ninth with 6,852 units, completely missing their five-digit annual sales mark target. The rising Chinese brand lost its footing after poor handling of customer complaints that erased its 2022 momentum of 9,302 units with a 26.34% drop. A management change in late 2023 hopes to rebuild confidence in the brand and resume its forward movement.

MG's sales total slid down to 10th with 5,679 units sold in 2023, down 29.33% from the previous year. Parent company took over in the second half of 2023 as a national sales company and we expect a strong performance in 2024.

Philippine Auto Sales 2023: 441,408 vehicles sold, 18.93% growth image

*Hyundai Truck & Bus figure was only for H1 of 2023 as distributor HARIPhil Asia Resources Inc., has yet to submit H2 figures to us as of publication time. BYD declined to release figures citing "difficulty in aligning and consolidating figures" as AC Motors took over distributorship H2 of 2023. 

Positive performance of auto sales in 2023 can be attributed to improving component supplies which resulted in vehicle availability and the continued recovery of the Philippine economy with the removal of pandemic-related restrictions.

Philippine Auto Industry logs 439,736 vehicles sold in 2023; grows 21% image

Top 3 Premium Brands

Lexus jumped to the top of the premium segment with strong sales supported by an influx of new vehicles launched and ready for customer delivery. The Japanese premium brand sold 1,843 units, more than doubling their 2022 sales of 861 units with a 114.05% growth.

BMW remained on top of the premium segment, selling 1,144 units, continuing its momentum with a slight 1.38% decrease from 2022's 1,160 unit total.

Mercedes-Benz placed third with 871 passenger vehicles sold against 2022’s 738 units, a 18.02% improvement.

Philippine Auto Industry logs 439,736 vehicles sold in 2023; grows 21% image

Top 5 Truck Brands

Isuzu continued to dominate commercial truck sales with 4,838 units, they dominated in the Light Truck (Cat III), Category IV Truck/Bus, and Category V Truck/Bus sub-segments. This represented a modest 3.38% increase from 4,680 units sold in 2022.

Hino stays second with a 2,676 cumulative total, with a 3.4% decline from its 2,771 unit total the previous year. Foton remained in third with 1,272 units, a slight decline of 0.47% from 1,001 units the previous year. JMC found itself in fourth with 1,065 units sold, Global Autodistribution Inc., its distributor just joined CAMPI this year, so there is no prior figure to compare to. Fuso slid down to fifth with 1,001 units sold, a decline of 18.7% from 1,231 units the previous year.

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Key Movers in 2023

The top performers in 2023 were Hyundai, GAC Motor, and Lexus, all making triple-digit percentage growth. GAC Motor is now with Spanish conglomerate Astara, posting a 364.83% growth to 1,591 units. Hyundai, now under a national sales company that operated its first full year in 2023, registered a 251.83% increase. Lexus, under Toyota Motor Philippines, registered a 114.05% increase as they leapfrogged into first place in the premium segment with a wide margin.

It is also worth noting that Toyota Motor Philippines as an assembler/importer has breached the 200,000 unit mark with an annual total of 200,031 with both Toyota and Lexus brands combined.

Top-runners Mitsubishi also saw significant gains, improving on its 41.71% growth performance the prior year to a 47.28% gain as it sold 78,371 units. 

The premium segment saw further gains as affluent car buyers addressed their wants with new car purchases. Lexus led with 1,843 units sold, a 114.05% increase driven by the supply availability of newly launched models. BMW slowed down with a 1.38% decline to 1,144 vehicles sold. Mercedes-Benz saw an 18.02% improvement with 871 units sold as supply began catching up with customer orders.

Brands that saw a serious sales slump in 2023 were Changan, Chevrolet, Geely, Peugeot, and Volkswagen. Changan underwent a distributor change in the middle of the year, which resulted in a 32.01% decline. Chevrolet continued its downtrend as sales declined by 31.06% to 395 units; the brand hopes to be revitalized in 2024 with a big shakeup. Peugeot dropped 56.45% as an aging lineup failed to attract buyers to showrooms. Volkswagen reversed course with a 55.46% drop to merely 269 units from 604 in 2022.

Brands making respectable debuts in the list were Jetour and JMC Trucks, both adding at least 1,000 units; Jetour's feat was achieved in only 8 months as the brand only debuted in the market in April.

Kaicene and SsangYong also saw huge drops as distributor Berjaya Group decided to end their distributorship of the brands.

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The industry expressed optimism for 2024 as a positive economic outlook with the expected increase in government spending to improve the flow of money. New model introductions and the increased popularity of electrified vehicles are also expected to contribute to customer interest in new cars. There will also be two motor shows this 2024 - The Manila International Auto Show in April, and the Philippine International Motor Show in October.

Ferrari, Maserati, and PGA Cars (Audi, Bentley, Lamborghini, and Porsche) declined to release their 2023 sales figures; and are not included in the total volume.