DTI warns truck firms assembling surplus cars

The Department of Trade and Industry (DTI-7) regional office recently issued a warning against 23 truck assemblers or rebuilding companies in Cebu to stop putting together surplus cars.

DTI-7 regional director Asteria Caberte said her office has received reports of these companies allegedly assembling cars from surplus parts from other countries.

“They [truck rebuilding centers] are not supposed to assemble cars, they are accredited only to rebuild trucks, based on Executive Order 156,” Caberte said.

“I am warning them to stop this illegal operation within their companies, or else we will be forced to issue a Cease and Desist order to their businesses or face closure,” she stressed.

According to Caberte, Cebu has become the source of assembled cars and these are allegedly made by the truck rebuilding centers.

“To do the job beyond accreditation is a violation. The DTI will act aggressively against these erring centers,” she added.

Proper actions will be taken against truck rebuilders who will be proven guilty of the alleged act.

Caberte said issues about car smuggling, illegal car assembling are now hot especially in Cebu.

Earlier, officials of the Presidential Anti-Smuggling Group (PASG) testified in a congressional inquiry in Manila that the smuggling of brand new vehicles and used cars is proliferating in Cebu City and other international ports.

DTI for its part will run after these illegal car assemblers in Cebu. Immediate actions against these companies will be served, after they are proven to have violated the law.

Caberte, however did not elaborate on what actions shall be made by the department, to monitor these companies, saying, they are moving confidentially.

“But I just want to warn them to stop their illegal operations. They know who they are,” Caberte said.

The government reportedly lost P1.4 billion in revenue due to car smuggling and Cebu has been identified as one of the entry ports for smuggled vehicles.

Caberte, however did not clarify if these car parts assembled by truck rebuilding centers are also smuggled. She only said that it is illegal for the truck assemblers to assemble cars.