Vehicle makers turn less pessimistic

Expect smaller decline in sales this year

MANILA, Philippines —   Vehicle sales in the country are expected to decline by five to eight percent this year, lower than initially expected, amid improving demand, according to the Chamber of Automotive Manufacturers of the Philippines Inc. (CAMPI).

“We’ve recalibrated (our projection) and we’ll be around five to eight percent (lower). So, it’s an improvement from our previous projections,” CAMPI president Jose Maria Atienza told reporters during the opening of the 10th Philippine International Motor Show yesterday.

He said that three weeks ago, CAMPI was projecting an eight to 10-percent drop in the country’s total vehicle sales this year.

Last year, the country’s total vehicle sales reached a record-high of 491,395 units. The sales figure covers those sold by CAMPI, the Truck Manufacturers Association and other available industry data.

Atienza said the automotive industry’s sales are estimated to have reached around 33,600 units in May, slightly higher than April’s 32,400 units.

He said the improvement was due to the decline in fuel prices and the availability of more models.

“It’s more of all brands catching up and fixing their product mix. But one good thing also, of course, we’ve noticed how the fuel prices have stabilized a bit. It’s gone back to P80 to P90 level,” he said.

He said electrified vehicles continue to see strong demand, but supply is unable to meet the current demand.

“We hope most of the brands are able to catch up,” he said.

CAMPI is hopeful of seeing continued improved sales performance in the coming months.

Atienza said this year’s sales performance would be influenced by fuel prices, product mix, as well as supply and demand.

He also said the group is hopeful that the Middle East conflict would be resolved soon, noting this would help stabilize the market.

Earlier, CAMPI said that vehicle sales   may hit another record high and breach the 500,000-unit mark this year.