Isuzu Philippines Corp. (IPC) is planning to assemble the upgraded variant of the newly launched D-Max 3.0 in its plant in Biñan, Laguna. This would allow the Philippine unit of the Japanese automaker to increase the vehicle’s local content.
This was revealed by IPC President Hajime Koso at the launch of the upgraded variants of two of IPC’s models—the 3.0 VGS Turbo versions of the D-Max and the Mu-X.
Koso said local assembly of the D-Max 3.0 will begin in the second quarter of 2016.
“The D-Max 3.0 right now is still imported from Thailand, but we’ll change to CKD [completely knocked down kit] in April,” Koso told reporters on the sidelines of the launch.
The D-Max 3.0 will increase IPC’s growing portfolio of locally assembled vehicles. Also being assembled locally are the D-Max 2.5, the Crosswind and the trucks that IPC is selling in the country.
IPC’s production capacity is currently at 15,000 units, while actual production has been at 12,000 units annually. This, IPC Marketing Head Joseph Bautista said, gives them no reason to increase the plant’s capacity just yet.
The assembly of the D-Max 3.0 at the Laguna plant will not entail fresh capital infusion.
Local content of the D-Max 3.0 is just at 20 percent, but IPC is now talking to its parts makers to identify the additional parts to be sourced locally, which may include the vehicle’s chassis frame.
With the newly launched Turbo variants and the sales surge that IPC has been experiencing so far in the year, the Japanese automaker has revised its sales outlook from 18,000 units stated earlier in the year to 22,800 units.
“Mu-x will be 11,000 units; D-Max sales will be 4,000 units; the Crosswind will be 4,000 units; and the rest will be the trucks,” Bautista added.
The D-Max pick up is seen to enjoy higher sales with the introduction of the 3.0 variant. Monthly sales forecast for the model was increased from up to 300 units to about 400 units.
IPC has sold 16,326 units in the January-to-September period, up 69.5 percent. Its market share stands at 7.91 percent.
Image credits: ROY DOMINGO