Pnoy's Auto Road Map

**ocanursjr** · December 19th, 2013 10:33 AM

Yeah... PigNoy is unrealistic. Purpose kasi minecraft nasa mind nya...

**jpdm** · December 24th, 2013 08:46 AM

Hi oca!

Auto parts makers mull expansion

by Bernie Magkilat
December 23, 2013

Domestic motor vehicle parts makers are now contemplating of expanding their operations in the country if the government will give them the right clear cut directions, incentives, and favorable business environment.

This developed as the 125-member Motor Vehicle Parts Manufacturers Association of the Philippines (MVPMAP) also called for the immediate approval of the auto industry roadmap.

The auto industry roadmap is expected to provide clearer short, medium and long-term directions for the local auto industry. This includes the local auto parts sub-industry and the alternative fuel vehicle (AFV) sub-industry such as the emerging electric vehicles segment.

In a statement, MVPMAP president Ferdinand Raquelsantos said the associations hopes to participate more strongly in the growing Philippine auto market.

“Given the right clear-cut directions, incentives and business environment, some car manufacturers who have local manufacturing in the country are now contemplating on expanding their operations here,” Raquelsantos said.

“This is a tremendous opportunity for the Philippines auto industry which employs some 70,000 highly skilled workers, including those in upstream and downstream sectors. And this has a multiplier effect of 3.6 per employee, one of the highest in the manufacturing sector”, he adds.

According to Raquelsantos, in many developing countries, the automotive industry is one of the backbones of their manufacturing industry, but stressed this is not the case in the Philippines.

MVPMAP said that car manufacturers have now reached a tipping point. These firms need to make concrete and firm decisions now as the year 2013 draws to a close.

The domestic auto industry has already missed the boat several times already in the past and this has resulted in the local auto industry being left behind by our Asian neighbours.

Vietnam, the new kid on the block, is even poised to overtake the Philippines in the auto industry where the Philippines used to be a forerunner in the region.

If only the government will play its card right, MVPMAP believes the country can get the much-needed foreign investments which will help expand local production of vehicles in country.

This is turn will give the local auto parts making and AFV industries a much-needed shot in the arm.

The association said it expects to double the jobs generated by the auto industry to about 140,000 people. These investments will also be more tangible as it will entail hard investments in real estate, capital equipment and raw materials that will be needed when factories are expanded.

“The regional automotive industry ‘boat’ is about to sail again and this time, it is about to decide where to dock. Let us not miss the boat this time around. It may take years again before the boat ever decides to make its next voyage. By then, it may be too late for our ailing auto industry,” Raquelsantos said.

Auto parts makers mull expansion | Manila Bulletin | Latest Breaking News | News Philippines

**Walter** · December 24th, 2013 09:44 AM

That's a big IF.

**uls** · December 24th, 2013 11:26 AM

jpdm has been posting press releases for more than 5 years

**ocanursjr** · December 28th, 2013 02:15 PM

Hi jpdm... How's everything? Happy New Year!!!

Good news for auto parts maker means good for economy.

**jpdm** · January 6th, 2014 10:37 AM

Happy New year oca!

Admittedly, uls is correct. Ive been posting press releases coming from DTI, parts makers and other auto players and yet nothing has happened so far. Its already 2014 and the auto program called MVDP of Arroyo is now known as auto road map under Aquino is still on the drawing board.

Puro planning na lang..

Anyway, I will just hope na lang.

:old:

**ocanursjr** · January 6th, 2014 08:11 PM

Originally Posted by jpdm

Happy New year oca!

Admittedly, uls is correct. Ive been posting press releases coming from DTI, parts makers and other auto players and yet nothing has happened so far. Its already 2014 and the auto program called MVDP of Arroyo is now known as auto road map under Aquino is still on the drawing board.

Puro planning na lang..

Anyway, I will just hope na lang.

:old:

In fact, wala talagang aasahan sa Gobiernong PigNOY at puro drawing lang.

**jpdm** · March 10th, 2014 09:09 AM

Auto roadmap should encourage local assembly – Nissan

by Bernie Magkilat
March 9, 2014

Toshiyuki Shiga, the second highest ranking official in Nissan Motor Co. Ltd., has urged the Philippine government to craft a comprehensive automotive industry roadmap that will encourage local assembly as he cited the worrisome widening share of imported completely built-up (CBU) cars in the local market.

Shiga said during a roundtable media discussion following the introduction of the newly consolidated Nissan operations in the country under Nissan Philippines Inc.(NPI) on Friday that he proposed to the Department of Trade and Industry to include the Department of Foreign Affairs and the Department of Finance in the crafting of the automotive industry roadmap to make this automotive industry strategy comprehensive.

The DTI is largely involved in the industrial strategy, but the Department of Foreign Affairs should also be included to take care of government treaties that may be affected in the auto roadmap. The DOF is also necessary to address tax incentive issues.

Shiga, who met with the DTI officials at the Philippines-Japan Economic Cooperation Committee recently held here, was informed that the “the roadmap was already agreed upon and the DTI is ready to execute the roadmap, but there are still some internal government discussions.”

NPI’s future plans in the country, along with other car companies, will also depend on the outcome of the industry roadmap, he said.

Shiga, who spearheads Nissan’s overall ASEAN operation, was alarmed that the share of imported CBU packs now dominates the domestic market with 60 percent share while the share of locally assembled cars is going down to 40 percent.

The Philippine situation runs counter to the trend in the region where locally assembled cars are at a high of 90 percent than imported CBUs. Indonesia and Thailand alone, their share of imported CBU packs is less than 10 percent of the market. Locally- assembled cars also account for 87 percent of the Malaysian car market.

Shiga further noted the highly underutilized production capacity of the domestic industry. At present, the industry has a total production capacity of 200,000 units, but there are only 70,000 to 80,000 cars being produced by local assemblers.

He, however, hopes that once that the motorization stage finally catches up on the Philippines, there will be more demand for locally assembled motor vehicles.

When that time comes, Shiga said NPI will have to maximize the existing capacities of the assembly facilities of its two partners Universal Motors Corp. and Nissan Motor Philippines Inc., which account for 24.5 percent share each in NPI.

He added that the ASEAN integration by 2015 presents a big opportunity for companies to maximize their potentials in this huge consumer-driven market.

He also expects companies to increase local content in their products to offset cost of foreign exchange.

“The Philippines has a strong potential and Nissan, too, under the ASEAN single market,” he added.

For now, NPI will have three major models in the country. These are Selphy, Altima and Almera.

Manila Bulletin | Latest Breaking News | News Philippines | Archive | Trade

**Monseratto** · March 10th, 2014 10:18 AM

Hintayin na lang ang next president and his road map. With two years left, no use wishing this administration will be coming out with a win-win policy...

**niky** · March 10th, 2014 03:44 PM

Originally Posted by jpdm

Auto roadmap should encourage local assembly – Nissan

by Bernie Magkilat
March 9, 2014

The Philippine situation runs counter to the trend in the region where locally assembled cars are at a high of 90 percent than imported CBUs. Indonesia and Thailand alone, their share of imported CBU packs is less than 10 percent of the market. Locally- assembled cars also account for 87 percent of the Malaysian car market.

Manila Bulletin | Latest Breaking News | News Philippines | Archive | Trade

Well... it's not hard to imagine why the Philippine situation is reversed. Tell Nissan and everyone else to stop building cars in Thailand, Indonesia and Malaysia... tapos!

-

That's what happens with free trade agreements. Wherever it's cheapest to build cars, that's where they'll build cars. And it's not cheap here, so they don't build them here.