Philippines Immigration Life：According to reports from foreign media, following the implementation of the Comprehensive Automotive Resurgence Strategy program (CARS) by the Philippine government, Nissan Philippines Inc. (NPI) is currently considering assembling a new model locally in the Philippines.
Recently, Nissan launched the new NV350 Urvan in the Philippines. Antonio Zara, the President and General Manager of NPI, stated that after the implementation of the CARS program, the company has begun to assess the Philippine market, and if it is ultimately advantageous to produce new vehicles locally, investment will not be a problem.
According to the requirements of the CARS program, NPI needs to ramp up production to 200,000 units per year within six years; however, this poses some challenges for the company. Antonio Zara emphasized that relying solely on domestic market demand is insufficient for the Nissan brand, thus export considerations are necessary. However, the automotive manufacturing industries in Thailand and Indonesia are also quite strong, potentially posing challenges for exports as well.
Currently, NPI assembles the Almera and Patrol Safari models in the Philippines. The CARS program requires automotive companies to assemble at least three models in the Philippines to qualify for tax incentives. The previous generation of the Urvan model was produced in the Philippines; however, under the agreements between Japan and the Philippines, export of this model benefits from zero tariffs, leading Nissan to decide to transfer its production to Japan and then export it to the Philippines.
Additionally, Nissan recently decided to expand its sales network in the Philippines this year to enhance its local sales. NPI aims to achieve a 40% increase in sales this year, reaching 14,000 units.
Currently, NPI holds a 4% market share in the Philippines. The largest automotive company in the country is Toyota Motor Philippines, with a market share of 44.6% in May, followed by Mitsubishi Motors at 19.2%, Ford at 8%, Isuzu at 7.5%, and Honda at 6.3%.
