MANILA, Philippines – Production of four-wheeled motor vehicles in the five ASEAN countries in 2010 was robust growing at 46.1 percent, but the Philippines ranked last trailing Vietnam, the ASEAN Automotive Federation technical committee reported.
Frank Nacua, secretary-general of Philippine Automotive Federation Inc., said the Philippines’s poor performance underscores all the more the need for the government to move faster with the implementation of the comprehensive Motor Vehicle Development Program (MVDP).
Based on the data, there were a total of 3,102,170 units of four-wheeled vehicles produced in five ASEAN countries including Thailand, Indonesia, Malaysia, Vietnam and Philippines. This reflected a growth of 46.1 percent versus 2,123,746 vehicles the ASEAN five produced in 2009.
Of these total production countries, the Philippines contributed only 80,477 units or 28.7 percent higher than its previous year’s production of 62,523 units to remain at the lowest spot.
Its closest competitor, Vietnam ranked fourth with 106,166 units produced in 2010 although this was 1.5 percent reduction from its 2009 production of 107,760 units.
Thailand, the recognized Detroit in ASEAN, breached the million unit sales mark as it produced 1,645,304 units of four-wheeled vehicles or 64.6 percent higher than its 2009 production of 999,378 units.
Indonesia followed with 999,378 or 51.1 percent higher than the 464,816 units produced in 2009. Malaysia followed with 567,715 unit production volume or 16 percent higher than the 2009 production of 489,269.
In terms of sales of four-wheeled vehicles, the five countries sold a total of 2,450,450 units v.s 2009 units sales of 1,821,230 for a robust growth of 34.5%, led by Thailand with 800,357 units for a significant 45.8 percent growth versus 548,871 units in 2009.
Indonesia followed closely with 764,710 unit sales or a staggering growth of 58.1% from 483,550 units disposed in 2009. Among the five countries, Indonesia posted the biggest increase both in terms of sales.
Malaysia, ASEAN’s third biggest car market, posted 12.7 percent increase with sales of 605,156 units as against 536,905 units sold in 2009.
The Philippines ranked fourth in terms of sales with 168,490 units sold or 27.2 percent higher than the 132,444 units sold in 2009. Vietnam’s sales, on the other hand, declined by 6.5 percent to 111,737 units versus 111,460 units sold in 2009.
For 2011, the five ASEAN countries have projected sales of four 4-wheeled vehicles to decline by 9.7 percent.
Nacua said, however, this is just an initial forecast and the figure could still change because this forecast was set in November last year yet.
Except for the Philippines and Vietnam, which projected modest sales growths of 4.5 percent and 4.3 percent, respectively, the top three countries projected declines in sales this year.
For instance, Thailand’s forecast is a negative 25 percent growth while Indonesia a decline of 11.1 percent and Malaysia with 5.8 percent sales reduction for 2011.
“These statistics are interesting in the light of zero tariff regime now pervading in the ASEAN region starting January 1, 2010. Likewise, it may be worth watching the Philippines' performance this year as the zero tariff under the Philippine-Japan Economic Partnership Agreement (PJEPA) for over 3 liter vehicle already took effect,” Nacua said.
In the 2-wheel category, the AAF reported that total sales of 5 ASEAN economies, including Singapore but without Vietnam, totaled 10,480,946 units vs. 2009 unit sales of 8,495,693 for a high growth rate of 23.4%.