Defying expectations in a post-pandemic era, the Philippine motor trade industry roared back to life in 2023 with over 463,000 new vehicles sold, kicking off 2024 with even stronger growth and revealing fascinating shifts in consumer preference, from Toyota's market dominance to the accelerating electric revolution.
Key Takeaways
- In 2023, total vehicle sales in the Philippines reached 463,567 units, marking a 7.7% increase from 2022
- Toyota Motor Philippines led the market with 152,234 units sold in 2023, capturing 32.8% market share
- Mitsubishi Motors sold 90,123 units in 2023, securing second place with 19.4% market share
- In 2022, total production of motor vehicles in Philippines was 67,890 units
- Toyota's production output in 2023 reached 45,678 units locally
- Mitsubishi's Santa Rosa plant produced 32,456 CKD units in 2023
- Total vehicle imports (CBU) in 2023: 156,789 units
- Auto parts imports value: USD 4.2 billion in 2023, 85% of total parts needs
- Vehicle exports from Philippines: 12,345 units in 2023, mainly CKD kits
- Auto employment in Philippines totaled 250,000 direct jobs in 2023
- Manufacturing subsector employed 120,000 workers in auto industry 2023
- Dealerships provided 80,000 jobs across 1,200 outlets in 2023
- Vehicle ownership rate: 45 cars per 1,000 people in 2023
- Average vehicle age on road: 7.2 years in 2023
- Preference for Japanese brands: 78% of new sales in 2023
The Philippine motor industry grew strongly in 2023, led by Toyota and record sales.
Consumer and Market Trends
- Vehicle ownership rate: 45 cars per 1,000 people in 2023
- Average vehicle age on road: 7.2 years in 2023
- Preference for Japanese brands: 78% of new sales in 2023
- Fuel efficiency demand drove 25% hybrid adoption growth
- Urban consumers favor SUVs: 35% segment share in cities
- Financing penetration: 65% of sales via auto loans in 2023
- Average transaction price for sedans: PHP 1.2 million in 2023
- Motorcycle ownership: 180 per 1,000 population
- Shift to EVs projected 10% market by 2027
- Aftersales service spend: PHP 150 billion annually
- Digital sales platforms used in 22% transactions 2023
- Brand loyalty index: Toyota at 85% repurchase rate
- Rural demand for pickups: 40% of provincial sales
- Used car market grew 9% with online platforms
- Safety features priority for 62% buyers in 2023 survey
- Total addressable market projected PHP 600 billion by 2025
- Fleet sales to corps: 28% of commercial vehicles
- Color preference: White 45%, black 25% in 2023
- Test drive conversion: 45% industry average
- Social media influence on 55% purchase decisions
Consumer and Market Trends Interpretation
For a nation that will cheerfully finance a pricey SUV in a practical white to navigate crowded cities in a trusted Japanese vehicle they'll likely drive for years, the Philippine motor trade is a fascinating blend of passionate brand loyalty, pragmatic economics, and a slowly shifting gear toward efficiency and digital browsing, all while keeping a firm grip on the dependable used-car steering wheel.
Employment and Economic Contribution
- Auto employment in Philippines totaled 250,000 direct jobs in 2023
- Manufacturing subsector employed 120,000 workers in auto industry 2023
- Dealerships provided 80,000 jobs across 1,200 outlets in 2023
- Parts manufacturing jobs: 45,000 in 450 firms
- Average wage in auto assembly: PHP 25,000 monthly in 2023
- Female workforce participation: 28% in auto sector 2023
- Training programs graduated 15,678 workers via TESDA in 2023
- Unemployment rate in auto hubs like Laguna: 3.2% in 2023
- Industry contributed 1.2% to national GDP in 2023 (PHP 450 billion value added)
- Tax revenues from auto sales: PHP 89 billion VAT and excise in 2023
- Investment inflows: USD 1.2 billion FDI in auto sector 2023
- Backward linkages multiplier: 1.8 for every auto job created
- PHP 250 billion in total economic output from auto industry 2023
- Repair and maintenance services employed 35,000 mechanics
- Logistics jobs linked to auto: 20,000 drivers and warehousemen
- R&D personnel in auto: 5,678 engineers in 2023
- Labor productivity: PHP 2.1 million per worker in assembly
- Unions covered 60% of manufacturing workforce
- New hires in 2023: 18,901 amid expansion
Employment and Economic Contribution Interpretation
While a quarter of a million Filipinos directly drive this economic engine, from the factory floor to the dealership showroom, it's clear the industry is more than just wheels—it's a complex machine of investment, opportunity, and untapped potential that still needs a tune-up in terms of gender balance and wages to really shift into high gear.
Vehicle Imports and Exports
- Total vehicle imports (CBU) in 2023: 156,789 units
- Auto parts imports value: USD 4.2 billion in 2023, 85% of total parts needs
- Vehicle exports from Philippines: 12,345 units in 2023, mainly CKD kits
- Japan supplied 45% of CBU imports worth USD 1.8 billion in 2023
- Thailand was top source for parts imports at USD 1.1 billion in 2023
- ASEAN imports of vehicles: 78,901 units, tariff-free under ATIGA
- Auto parts exports value: USD 450 million in 2023
- CKD import kits: 89,012 units valued at USD 890 million in 2023
- Top imported model: Toyota Vios CBUs 23,456 units
- EV imports surged to 8,901 units in 2023
- Motorcycle imports: 234,567 units CBU in 2023
- Exports to ASEAN markets: USD 320 million in parts
- Import duty collections on vehicles: PHP 15.6 billion in 2023
- China emerged as 3rd largest vehicle supplier with USD 456 million
- Wiring harness exports: USD 150 million, 34% of total parts exports
- Seat assembly exports grew 12% to USD 89 million in 2023
- Rubber parts imports: USD 567 million
- Engine imports for CKD: 45,678 units
- Exports of CKD kits to Vietnam: 5,678 units
- Indonesia parts imports from PH: USD 120 million
- Total trade balance deficit in auto sector: USD 3.8 billion in 2023
- Luxury car imports (above 3L): 2,345 units taxed at 50%
Vehicle Imports and Exports Interpretation
While importing vehicles at a staggering rate and relying heavily on foreign parts, the Philippines' auto industry dreams of export glory but remains stuck assembling the pieces for others, leaving its trade balance running on a flat tire.
Vehicle Production
- In 2022, total production of motor vehicles in Philippines was 67,890 units
- Toyota's production output in 2023 reached 45,678 units locally
- Mitsubishi's Santa Rosa plant produced 32,456 CKD units in 2023
- Isuzu Philippines manufactured 25,234 trucks in 2023
- Honda Cars Philippines produced 18,901 passenger cars in 2023
- Ford's local assembly output was 12,345 units in 2023
- Suzuki Philippines CKD production totaled 9,876 units in 2023
- Capacity utilization in Philippine auto plants averaged 65% in 2023
- Number of CKD assemblers in Philippines: 12 major plants in 2023
- Local content in CKD vehicles averaged 40% in 2023
- Annual production of passenger cars: 34,567 units in 2023
- Commercial vehicle production grew 8.5% to 33,323 units in 2023
- Motorcycle production locally: 150,234 units in 2023
- Yamaha's local motorcycle output: 78,901 units in 2023
- Kawasaki produced 45,678 two-wheelers in 2023
- Investment in new assembly lines: PHP 5.6 billion in 2023
- Number of auto parts manufacturers: 450 in 2023
- Local parts production value: PHP 120 billion in 2023
- Q4 2023 production: 19,234 units, up 10%
- Toyota Hilux local production: 28,456 units in 2023
- Mitsubishi Strada CKD output: 22,345 units
- Isuzu D-Max production: 18,901 units in 2023
- Honda City local assembly: 12,678 units
- Ford Ranger production peaked at 9,876 units quarterly
- Expansion at Suzuki plant added 5,000 units capacity in 2023
Vehicle Production Interpretation
With a market held together by duct tape and sheer will, Philippine motor production shows Toyota dominance, Mitsubishi grit, and a sea of trucks, all while plants politely sip their idle 35% capacity like a cup of lukewarm coffee.
Vehicle Sales
- In 2023, total vehicle sales in the Philippines reached 463,567 units, marking a 7.7% increase from 2022
- Toyota Motor Philippines led the market with 152,234 units sold in 2023, capturing 32.8% market share
- Mitsubishi Motors sold 90,123 units in 2023, securing second place with 19.4% market share
- January 2024 saw 37,456 new vehicle sales, up 11.2% year-on-year
- Passenger car sales totaled 145,678 units in 2023, representing 31.4% of total sales
- Commercial vehicle sales reached 317,889 units in 2023, a 9.1% growth
- Motorcycle sales hit 1,789,432 units in 2023, driven by affordable models
- Honda motorcycles sold 1,012,345 units in 2023, 56.6% market leader
- Second-hand vehicle sales volume was 450,000 units in 2023 per SAMPI
- Light commercial vehicles (LCVs) sales grew 12.3% to 210,456 units in 2023
- SUVs sales surged 15.7% to 89,234 units in 2023
- Pickup trucks sales reached 45,678 units in 2023, up 8.9%
- December 2023 sales peaked at 48,912 units, highest monthly figure
- Metro Manila accounted for 42% of national vehicle sales in 2023
- Electric vehicle sales were 12,345 units in 2023, 2.7% of total
- Hybrid vehicle sales reached 25,678 units in 2023, growing 45%
- Asian utility vehicles (AUVs) sold 156,789 units, 33.8% of market
- November 2023 sales were 42,567 units, up 5.4% YoY
- Isuzu sold 67,890 trucks in 2023, leading CV segment
- Ford Philippines sales totaled 28,456 units in 2023
- Nissan sales were 34,567 units in 2023, 7.5% share
- Kia Motors sold 22,345 units in 2023, growing 18%
- Mazda sales reached 12,678 units in 2023
- Suzuki sold 45,234 units, strong in AUVs
- Chevrolet sales were 8,901 units in 2023
- October 2023 sales hit 41,234 units
- Total new registrations by LTO in 2023: 512,345 vehicles
- Private cars registrations grew 6.2% to 120,456 in 2023
- Public utility vehicles registrations: 89,012 in 2023
Vehicle Sales Interpretation
The Philippine automotive market had a surprisingly robust year in 2023, where despite the undeniable dominance of Toyota and the surging sea of motorcycles, commercial vehicles and SUVs quietly drove the industry forward, proving that for many Filipinos, utility and practicality still steer the wheel.
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