MANILA, Philippines - Honda Philippines Inc. (HPI) won’t bring in hybrid vehicles in the country yet despite the implementation of the Japan Philippines Economic Partnership Agreement (JPEPA).
At the same time Honda said it replicate the 11-percent growth posted last year saying that the 2010 figures will only be slightly higher when compared to the previous year. After being the number three auto company in the country for a while, Honda had slid to number four after it was overtaken by Hyundai Asia Resources.
Speaking to reporters at the sidelines of their 20th anniversary celebration and the launch of the Blue Skies Alliance at the Sofitel Hotel yesterday, HPI president and general manager Hiroshi Shimizu said that there is not so much growth this year. However, he stressed that they will be maintaining their local production of more than 1,000 units monthly. Honda produces City and Civic in their Sta. Rosa Plant while it is importing Jazz, CRV and Accord from Thailand.
With regards to the hybrid vehicles, Shimizu said that they only produce the hybrid model in Japan. This means that bringing in the hybrid would entail the payment of export duty of 20 percent. “It’s very expensive.”
Shimizu said that even with the JPEPA in place, the hybrid would still be very expensive. Under the JPEPA, the tariffs will only be lowered by 2013. He said that if there is a tax scheme that would be friendly to hybrid vehicles they would consider it but as of the moment he explained that there are no benefits for vehicles with less than three liters.
Congress and Senate have parallel bills that are looking at providing tax breaks for hybrid vehicles. The sponsor in the Lower House is Representative Ronald Singson while Senator Miguel Zubiri is sponsoring it in the Senate.
Meanwhile at the same event, Shimizu said that the Blue Skies Alliance is part of their commitment to pass on a clean, bright future to the next generation.