Toyota surplus in Phnom Penh: Kakainggit!

[Quint]

First of all, hindi ako taga car industry, but I am in favor of protecting the car industry, or whatever is left of it.

If you allow the surplus cars to be brought in, I can guarantee you that every single country who is producing cars will queue up and dump their cars in the country. So this country will end up with all the world's junk cars in its backyard while the rest of the world enjoys their newer cars.

This is not new. This is how the chop-chop industry was born. Remember those Light Ace vehicles and those Isuzu Gemini taxis? Dati pag nag order ng piyesa kasi yung mga importers i.e. suspension, etc., these guys would send in the whole front, or the whole back for the cost of the suspension. So if you were the importer you would wonder what to do with those other parts---voila! Assemble and sell! You have a "new" surplus car!

Countries i.e. Japan and other modern economies are very strict with emission standards, and the age of their cars so they penalize the buyers by charging more for older cars. Therefore, it becomes more prohibitive to own an older car than a new car, that's why they get sold at a bargain or "dumped." You can buy lots and lots (car lots) of them if you wish, and bring them over.

But what will make of the companies who invested, set-up, provided employment, etc., do if this happens? Pack-up. Short and simple.

I think that there are a good number who have, or are very close to packing up if not for the allowing of CBUs. Why? Labor is not cheap, corruption is terrible! Skills, utilities, etc., are probably even cheaper outside than the Philippines.

So is there really sense in staying?

With JPEPA, (AFTA pa ba) in force in the near future, the tariffs on cars will be very low or zero anyway. That means, you'll get your cars at global prices with low or zero tariffs (I maybe wrong). We're already seeing it with the entry of global models. So, hintayin na lang natin yan. Pero, let's not allow the surplus cars to come in. Because if we allow the surplus cars to come in, you might as well show the Japanese and Koreans the exit and bid them sayonara. Worst, your Calabarzon area with a few thousand families depending on the car industry might turn into a wild west (I mean Wild South) because a lot of people will lose their jobs.

Isip, isip...

[RevoGuy]

It all boils down to one statement - Give and Take