the people making our laws made it with too many loopholes. Yung mga subic na kotse, the law states na yung mga RHD brought into subic will be converted to LHD but should be reexported. What the law allows for converted LHD to be sold locally is trucks, not cars. Unfortunately, our government agencies are too independent of each other, they hardly coordinate. Thus, enterprising individuals have made arrangements with LTO, police, customs, etc., for their individual (personal in effect) requirements. After their lust is satisfied, you switch on the ignition and away you go. Then some enterprising police later on will stop your car and demand you prove that you paid the right taxes. You are guilty until proven innocent! Baliktad na!
Why people still buy? Because it is cheap! And they believe that if it is registered by the LTO, then the records must be straight or else how did it get registered?? But the reality is that records are far from straight. Majority of these car's registration are downright crooked. And why people still import and sell? Because there is money to be made. The system has become too complicated, and entrenched.
What the government should do is not to allow any exemptions. No cars that are not identified as a locally assembled vehicle should be allowed to be registered and renewed. No importations of such luxury cars should be allowed, even if they are willing to pay the proper taxes. This will keep things simple. If your car looks imported, not local, then that car is not legal. Period.