Recently, the Philippines government announced that it will provide $600 million in subsidies to the automotive industry over the next six years to curb and improve declining automotive production and catch up with competitors.
The automotive market in Southeast Asian countries is dominated by Japanese manufacturers such as Toyota and Mitsubishi, which have been calling for the government to introduce incentive policies to increase production.
Philippine President Benigno Aquino signed the documents two days ago before his trip to Japan. The government plans to provide approximately $100 million in rewards each year to support the production of three vehicle models, encouraging the production of at least 600,000 vehicles after completing a three-year study. It is reported that the main beneficiaries will be Toyota and Mitsubishi vehicles.
