CAMPI: Local Auto Sales Climb 4.6% in May

June 9, 2009 by Tsikot

Auto sales went up by 4.6 percent to 10,450 units in May from 9,988 units a month ago level due to the relatively strong consumer confidence in the market, the Chamber of Automotive Manufacturers of the Philippines (CAMPI) reported yesterday.

“The increase in May sales continues to validate the relative confidence of consumers on the market where they continue to purchase vehicles for their needs whether for family personal or for business use,” Chamber of Automotive Manufacturers of the Philippines Inc. (CAMPI) president Elizabeth H. Lee said yesterday.

“Key to sustained sales is the stable financing environment which allows buyers to take out loans to finance their purchases,” she added.

Lee said the uptick is expected given the full month of sales. In April, there was a week long break due to the Holy Week.

“Auto players continue to sustain sales with promotions and easy payments that benefit buyers. Fleet deliveries which were consummated this month also helped boost sales for the month. Sales are expected to continue to be stable and grow in the coming months,” Lee said, adding that “auto players continue to offer programs that make it easier for buyers to purchase the vehicles they need. This way we can sustain a positive momentum.”

For the first five months, sales stood at 49,002 units, down 3.7 percent from 50,883 units sold a year ago level.

Players continue to be optimistic and will await the results of the first half of the year before any adjustment in forecast will be made.

“The local Philippine auto industry is still doing relatively well considering the drastic decline in sales in the more developed markets such as the US where sales are down 36 percent from last year.” Lee said.

“OFW remittances continue to be a strong factor in consumer spending as it serves as a barometer for consumer confidence. Further, sustained vehicle sales are increasingly supported by the fact that more so now, vehicles are no longer a luxury but a necessity,” she added.

Total passenger car sales grew by 8.1 percent to 3,776 units in May. Growth is due to the launch of some new models and growing acceptance of small compact cars.

Continued promos and aggressive programs also helped boost sales together with fleet sales that were served during the month. PC sales corner 35.8 percent market share of total vehicle sales nationwide.

On the other hand, commercial vehicles (CV) continue to dominate total nationwide sales covering 64.2 percent of total vehicle sales in the country. May sales were 6,684 units.

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