Importation of Rolls Royce, Bentley cars OK’d

Auto Prominence Corp.(APC) has gotten approval from the Board of Investments (BOI) to import completely build-up units (CBUs) of luxury vehicles Rolls Royce and Bentley.

APC decided to seek model registration of its Rolls Royce and Bentley models under the Category III or luxury vehicle classification of the Motor Vehicle Development Program (MVDP) to protect its exclusive right to import such models into the country.

Getting the BOI registration does not entitle APC to any fiscal incentives but ensures that any other attempt to bring in Rolls Royce of Bentley models would be prevented unless it is coursed solely through APC.

APC intends to bring in the four-door Rolls Royce Seraph sedan with automatic transmission as well as the two-door convertible Rolls Royce Corniche with automatic transmission.

It will also import the Bentley Arnage Birkin sedan, the Bentley Arnage Red Label sedan, the Bentley Continental two-door coupe and the Bentley Azure two-door convertible.

Aside from the Rolls Royce and Bentley models, APC also has an existing license agreement and importer’s agreement with Volkswagen AG for 11 Volkswagen models and 14 Audi models under the passenger car category of the MVDP.

These Volkswagen models include the Polo Classic, Passat, Sharan, new Beetle, Bora, Lupo and Golf.

While the Audi models include the A4 turbo, A6 saloon, A6 avant, A8 quatro, A8 sedan, A8 quatro armoured, TT coupe, TT roadster, and A2TDI.

The Rolls Royce and Bentley cars are European luxury vehicles built in Europe since the 1900s.

Meanwhile, the BOI has decided not to allow soft CKD (completely knock down) importations of Category 3 or high-end luxury cars.

There had been earlier speculation that the BOI may finally allow soft CKD importations of high-end luxury cars without local car manufacturers having to commit to eventual full CKD assembly operations.

The intent was to discourage CBU (completely built-up) importations. It was also thought that allowing soft CKD importations for high-end luxury cars may result in more benefits for the local car industry which is currently experiencing under capacity utilization because of the slump in car sales.

Adversely affected by the final decision of the BOI Board not to allow soft CKD imports is the Asian Carmakers Corp. (ACC) which had previously gotten approval from the BOI to resort to soft CKD importations of the luxury BMW cars.

At present, the BOI only allows soft CKD importations with the commitment that the local car manufacturer must eventually go into full CKD assembly. –Marianne Go