Vehicle assemblers have given up all hope of a recovery in the near future after suffering an 85-percent slump in sales in May when quarantine restrictions were eased.
The automotive industry showed no signs of a bounce back in May, as sales fell 84.55 percent to 4,788 units, from 30,998 units during the same month last year, the Chamber of Automotive Manufacturers of the Philippines Inc. (Campi) and Truck Manufacturers Association reported on Monday. All segments posted declines well within the 80 percent level. Sales of passenger cars crashed 84.65 percent to 1,389 units, from 9,053 units, while those of commercial vehicles dropped 84.51 percent to 3,399 units, from 21,945 units.
With May figures accounted in, industry sales for the first five months decreased by more than half to 69,463 units, from 142,185 units during the same stretch last year. And car makers are looking at a rough road ahead toward recovery.
According to Campi President Rommel R. Gutierrez, the May numbers are still way below the average sales made by the industry on a regular basis, although it is higher than the 133 units sold in April, the weakest performance of all time.
Gutierrez said the industry has no illusions of recovering immediately. Aside from the reduced operational capacity and new safety protocols in dealerships, vehicle makers will have to deal with a dampened demand for automobile at a time households are concentrating their money on food and essentials.
“But we hope to see some gradual recovery perhaps by fourth quarter of the year,” Gutierrez said.
In terms of market share, Toyota Motor Philippines Corp. holds a comfortable lead against all of its competitors, owning more than 40 percent of industry sales. Mitsubishi Motors Philippines Corp and Nissan Philippines Inc. trail second and third with 18.52 percent and 12.51 percent shares of the market, respectively.
Honda Cars Philippines Inc. and Ford Motor Company Philippines Inc. round up the leader list with above 6 percent market shares.