Toyota PHL expects vehicle output to fall this year

TOYOTA MOTOR Philippines Corp. (TMP) expects vehicle production to decline this year amid softer market demand that the automaker linked to higher oil prices stemming from the Middle East conflict. “It’s lower this year at maybe close to 60,000. Last year was about 63,000,” TMP Senior Vice-President for Marketing Division Sherwin T. Chua Lim said at a media roundtable on Tuesday. TMP produced a record 63,803 vehicles last year. The Japanese automaker manufactures the Vios, Tamaraw, and Innova at its 82-hectare Toyota Special Economic Zone in Sta. Rosa, Laguna. As of end-August, its production volume stood at 38,221 units, down 10% from 42,469 units in the same period last year. The Vios accounted for 48% of TMP’s production during the eight-month period, or 18,321 units, followed by the Tamaraw with 12,468 units, or 33%, and the Innova with 7,432 units, or 19%. TMP said higher oil prices amid tensions in the Middle East had affected vehicle demand, particularly for gasoline-powered models. The company’s vehicle sales fell 8.2% to 118,706 units as of end-July, according to the latest data from the Chamber of Automotive Manufacturers of the Philippines, Inc. (CAMPI). Toyota remained the country’s top-selling automotive brand during the period, CAMPI data showed. RIDE-HAILING SLOTS Meanwhile, TMP called on the Land Transportation Franchising and Regulatory Board (LTFRB) to review its decision to open 7,500 additional ride-hailing slots in Metro Manila that exclude conventional hybrid electric vehicles (HEVs). Under Memorandum Circular No. 2026-084, which took effect on Aug. 27, the LTFRB opened new electric-vehicle taxi and transport network vehicle service (TNVS) slots in Metro Manila exclusively to battery electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs). The circular states that conventional internal combustion engine (ICE) vehicles, HEVs other than PHEVs, and “other vehicle technologies that do not fall within the BEV or PHEV classifications shall not be eligible for the slots opened herein.” TMP cited Republic Act No. 11697, or the Electric Vehicle Industry Development Act (EVIDA), which includes HEVs in the classification of electric vehicles. The automaker also cited the government’s P60-billion Electric Vehicle Incentive Strategy, which includes HEVs among the vehicle technologies covered by the country’s push for domestic EV manufacturing. “We also believe modern low-displacement engine technologies in today’s compact ICE vehicles have significantly improved in terms of fuel efficiency and reducing emissions,” TMP said. “Including these vehicles in the options can benefit both the operators and the riding public.” In a technical study, the LTFRB estimated that Metro Manila needs about 64,000 TNVS units to meet passenger demand, compared with about 39,337 currently authorized units. Toyota was the top-selling HEV brand as of end-July, with 12,838 units sold during the period, CAMPI data showed. — Beatriz Marie D. Cruz