MANILA, Philippines - The Board of Investments (BOI) is set to present the job generation programs of the automotive industry road map this week.
BOI director for industrial policy department Corazon Halili-Dichosa told reporters the presentation would be held on Oct. 17.
“The automotive industry (roadmap) will be presented with the slant on its contribution to employment generation,” she said.
The government is coming up with a program which seeks to support local vehicle production.
“The ultimate goal since we know that it has big multiplier effect, is really to expand the production of auto manufacturing here in the Philippines. As much as possible, have the big parts manufacturing in the Philippines so that there would be less import dependence and more jobs to be created,” Dichosa said.
Local industry players have been waiting for the release of the automotive roadmap citing that such would be needed in making investment plans.
Chamber of Automotive Manufacturers of the Philippines Inc. president Rommel Gutierrez said the group is hopeful the executive order for the automotive industry program would be released this year.
Cabinet Secretary Jose Rene Almendras said earlier the government is mulling investments amounting to around $600 million for fiscal and non-fiscal support for the automotive industry.
The investment would be sourced from the government’s regular budget.
While the government is looking to support the automotive industry, Trade Secretary Gregory Domingo said earlier the program would only cover a limited number of firms, particularly those able to meet certain production level requirements, assemble for export and share the ambition of making the country a manufacturing hub.
Firms which meet the production level requirement would be given a corresponding amount for every unit assembled as an incentive.
The incentive is intended to help automotive firms close the gap between a locally-assembled vehicle and imported unit amounting to $2,000.