August 24, 2017, 4:33 pm
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1 Philippine Peso = 0.07186 UAE Dirham
1 Philippine Peso = 2.19135 Albanian Lek
1 Philippine Peso = 0.03488 Neth Antilles Guilder
1 Philippine Peso = 0.33671 Argentine Peso
1 Philippine Peso = 0.02474 Australian Dollar
1 Philippine Peso = 0.03483 Aruba Florin
1 Philippine Peso = 0.03913 Barbados Dollar
1 Philippine Peso = 1.58501 Bangladesh Taka
1 Philippine Peso = 0.03243 Bulgarian Lev
1 Philippine Peso = 0.00737 Bahraini Dinar
1 Philippine Peso = 33.80317 Burundi Franc
1 Philippine Peso = 0.01957 Bermuda Dollar
1 Philippine Peso = 0.02662 Brunei Dollar
1 Philippine Peso = 0.135 Bolivian Boliviano
1 Philippine Peso = 0.06144 Brazilian Real
1 Philippine Peso = 0.01957 Bahamian Dollar
1 Philippine Peso = 1.25465 Bhutan Ngultrum
1 Philippine Peso = 0.19996 Botswana Pula
1 Philippine Peso = 391.70416 Belarus Ruble
1 Philippine Peso = 0.03909 Belize Dollar
1 Philippine Peso = 0.02455 Canadian Dollar
1 Philippine Peso = 0.0189 Swiss Franc
1 Philippine Peso = 12.52006 Chilean Peso
1 Philippine Peso = 0.13024 Chinese Yuan
1 Philippine Peso = 58.28605 Colombian Peso
1 Philippine Peso = 11.17355 Costa Rica Colon
1 Philippine Peso = 0.01957 Cuban Peso
1 Philippine Peso = 1.82684 Cape Verde Escudo
1 Philippine Peso = 0.43209 Czech Koruna
1 Philippine Peso = 3.48268 Djibouti Franc
1 Philippine Peso = 0.12318 Danish Krone
1 Philippine Peso = 0.91822 Dominican Peso
1 Philippine Peso = 2.14647 Algerian Dinar
1 Philippine Peso = 0.25914 Estonian Kroon
1 Philippine Peso = 0.34533 Egyptian Pound
1 Philippine Peso = 0.45392 Ethiopian Birr
1 Philippine Peso = 0.01656 Euro
1 Philippine Peso = 0.03962 Fiji Dollar
1 Philippine Peso = 0.01527 Falkland Islands Pound
1 Philippine Peso = 0.01529 British Pound
1 Philippine Peso = 0.08616 Ghanaian Cedi
1 Philippine Peso = 0.8785 Gambian Dalasi
1 Philippine Peso = 172.92115 Guinea Franc
1 Philippine Peso = 0.14239 Guatemala Quetzal
1 Philippine Peso = 4.00117 Guyana Dollar
1 Philippine Peso = 0.1531 Hong Kong Dollar
1 Philippine Peso = 0.45643 Honduras Lempira
1 Philippine Peso = 0.12198 Croatian Kuna
1 Philippine Peso = 1.198 Haiti Gourde
1 Philippine Peso = 5.009 Hungarian Forint
1 Philippine Peso = 261.0448 Indonesian Rupiah
1 Philippine Peso = 0.07054 Israeli Shekel
1 Philippine Peso = 1.25296 Indian Rupee
1 Philippine Peso = 22.81354 Iraqi Dinar
1 Philippine Peso = 646.44882 Iran Rial
1 Philippine Peso = 2.09352 Iceland Krona
1 Philippine Peso = 2.49247 Jamaican Dollar
1 Philippine Peso = 0.01385 Jordanian Dinar
1 Philippine Peso = 2.1352 Japanese Yen
1 Philippine Peso = 2.01487 Kenyan Shilling
1 Philippine Peso = 1.34164 Kyrgyzstan Som
1 Philippine Peso = 79.92565 Cambodia Riel
1 Philippine Peso = 8.17413 Comoros Franc
1 Philippine Peso = 17.60908 North Korean Won
1 Philippine Peso = 22.06222 Korean Won
1 Philippine Peso = 0.0059 Kuwaiti Dinar
1 Philippine Peso = 0.01604 Cayman Islands Dollar
1 Philippine Peso = 6.52808 Kazakhstan Tenge
1 Philippine Peso = 162.39483 Lao Kip
1 Philippine Peso = 29.45412 Lebanese Pound
1 Philippine Peso = 2.99315 Sri Lanka Rupee
1 Philippine Peso = 2.24027 Liberian Dollar
1 Philippine Peso = 0.25729 Lesotho Loti
1 Philippine Peso = 0.05965 Lithuanian Lita
1 Philippine Peso = 0.01214 Latvian Lat
1 Philippine Peso = 0.02677 Libyan Dinar
1 Philippine Peso = 0.1841 Moroccan Dirham
1 Philippine Peso = 0.34915 Moldovan Leu
1 Philippine Peso = 1.0182 Macedonian Denar
1 Philippine Peso = 26.62884 Myanmar Kyat
1 Philippine Peso = 47.54451 Mongolian Tugrik
1 Philippine Peso = 0.15767 Macau Pataca
1 Philippine Peso = 7.0632 Mauritania Ougulya
1 Philippine Peso = 0.64704 Mauritius Rupee
1 Philippine Peso = 0.30033 Maldives Rufiyaa
1 Philippine Peso = 14.01037 Malawi Kwacha
1 Philippine Peso = 0.34596 Mexican Peso
1 Philippine Peso = 0.08361 Malaysian Ringgit
1 Philippine Peso = 0.25735 Namibian Dollar
1 Philippine Peso = 7.0632 Nigerian Naira
1 Philippine Peso = 0.57816 Nicaragua Cordoba
1 Philippine Peso = 0.1539 Norwegian Krone
1 Philippine Peso = 2.00059 Nepalese Rupee
1 Philippine Peso = 0.02707 New Zealand Dollar
1 Philippine Peso = 0.00752 Omani Rial
1 Philippine Peso = 0.01957 Panama Balboa
1 Philippine Peso = 0.06327 Peruvian Nuevo Sol
1 Philippine Peso = 0.06425 Papua New Guinea Kina
1 Philippine Peso = 1 Philippine Peso
1 Philippine Peso = 2.05811 Pakistani Rupee
1 Philippine Peso = 0.07095 Polish Zloty
1 Philippine Peso = 109.62629 Paraguayan Guarani
1 Philippine Peso = 0.0718 Qatar Rial
1 Philippine Peso = 0.07593 Romanian New Leu
1 Philippine Peso = 1.15543 Russian Rouble
1 Philippine Peso = 16.15574 Rwanda Franc
1 Philippine Peso = 0.07337 Saudi Arabian Riyal
1 Philippine Peso = 0.15192 Solomon Islands Dollar
1 Philippine Peso = 0.26554 Seychelles Rupee
1 Philippine Peso = 0.13031 Sudanese Pound
1 Philippine Peso = 0.15764 Swedish Krona
1 Philippine Peso = 0.02663 Singapore Dollar
1 Philippine Peso = 0.01528 St Helena Pound
1 Philippine Peso = 0.43447 Slovak Koruna
1 Philippine Peso = 146.74232 Sierra Leone Leone
1 Philippine Peso = 10.89806 Somali Shilling
1 Philippine Peso = 405.92448 Sao Tome Dobra
1 Philippine Peso = 0.1712 El Salvador Colon
1 Philippine Peso = 10.07591 Syrian Pound
1 Philippine Peso = 0.25733 Swaziland Lilageni
1 Philippine Peso = 0.65193 Thai Baht
1 Philippine Peso = 0.04773 Tunisian Dinar
1 Philippine Peso = 0.04379 Tongan paʻanga
1 Philippine Peso = 0.06807 Turkish Lira
1 Philippine Peso = 0.13216 Trinidad Tobago Dollar
1 Philippine Peso = 0.59221 Taiwan Dollar
1 Philippine Peso = 43.65095 Tanzanian Shilling
1 Philippine Peso = 0.49932 Ukraine Hryvnia
1 Philippine Peso = 70.27979 Ugandan Shilling
1 Philippine Peso = 0.01957 United States Dollar
1 Philippine Peso = 0.56075 Uruguayan New Peso
1 Philippine Peso = 81.4909 Uzbekistan Sum
1 Philippine Peso = 0.19517 Venezuelan Bolivar
1 Philippine Peso = 444.51183 Vietnam Dong
1 Philippine Peso = 2.02935 Vanuatu Vatu
1 Philippine Peso = 0.04937 Samoa Tala
1 Philippine Peso = 10.85815 CFA Franc (BEAC)
1 Philippine Peso = 0.05283 East Caribbean Dollar
1 Philippine Peso = 10.74819 CFA Franc (BCEAO)
1 Philippine Peso = 1.96419 Pacific Franc
1 Philippine Peso = 4.89043 Yemen Riyal
1 Philippine Peso = 0.25716 South African Rand
1 Philippine Peso = 101.5359 Zambian Kwacha
1 Philippine Peso = 7.08081 Zimbabwe dollar

2017 VEHICLE FORECAST: More taxes, less vehicle sales, but traffic the same

Vehicles and still more vehicles.

In 2017, the Philippine automotive industry will feed around 500,000 cars  into the already crowded metropolises of the country, with the National Capital Region receiving anywhere from 78 to 82 percent of the new car sales. This figure extrapolates from the combined end-of-year sales estimates of both the Chamber of Automotive Manufacturers of the Philippines (CAMPI) and the Association of Vehicle Importers and Distributors (AVID).

On one hand, CAMPI’s president Rommel Gutierrez said during the 2016 Philippine International Motor Show, that his organization would reach the targeted 370,000 units sales by end of 2016. Final sales reports show the number may actually be exceeded due to aggressive 4th quarter performance.

AVID, on the other hand has already practically delivered on its sales target registering a 103 percent sales increase from its members. By the 3rd quarter of the year the organization reported a 27% growth from the previous quarter with a total of 68,746 vehicles sold. Industry experts are confident the group can exceed the fourth quarter and thus the total annual sales because of the massive financing deals from led by Ford, Suzuki and Hyundai. 

It is thus safe to say that if the sales trend continued at the same momentum as it did towards the end of the 3rd quarter, total industry sales combined, would mean about 450,000 new cars, SUV and commercial vehicles crowding into the already tight city streets, oftentimes with no garages to properly park in.

Combine that number with the expected over 1 million motorcycle sales the top 5 brands comprising the Motorcycle Development Program Participants Association (MDPPA)—Honda Philippines Inc., Kawasaki Motors Philippines Inc., Yamaha Motor Philippines Inc., Suzuki Philippines Inc., and Kymco Philippines Inc. expect to achieve this year. In 2015, the MDPPA already sold 850,509 and an estimated 27 percent growth means 1,080,146 sales for 2016.

And the industry is growing and the major players are shifting the playing field. 

The Comprehensive Automotive Resurgence Strategy (CARS) program launched towards the end of the Aquino Government is seen by many industry experts as a step that will only boost the competitiveness of the country’s automotive industry by increasing local production volumes.

The updated CARS program now has Toyota Motor Philippines, Inc. (TMPI) joining Mitsubishi Motors Philippines Corporation’s (MMPC) in assembling specific vehicles that will benefit from some P27 billion worth of fiscal and non-fiscal support to both automakers and parts suppliers. 

CARS requires companies who join to produce a total of 200,000 units of a particular vehicle model over a period of six years. Factor in the production volumes by all possible carmakers who apply for the program will mean passenger car production numbers to average 16 to 20 percent over the next five years.

Hyundai Automotive Resources Inc. (HARI) already submitted an application to the Board of Investments (BOI) for a completely knockdown (CKD) kit assembly under the new rules of the Korea and ASEAN Free Trade Agreement (Korea+AFTA) to exported auto components from various sources, including Korea. Sources from HARI have not confirmed the finalization of this assembly but it has already started the prototyping of its vehicle assembly at its Star Motors Manufacturing Corp. plant in Sta. Rosa, Laguna.

Malaya Business Insight saw delivery of the popular Eon CKD on the assembly area of Star Motors is owned by Universal Motors Group of which HARI is also part of.  The plant used to assemble Nissan pick-ups and diesel SUVs. 

Insiders at Star Motors have said a totally new line is being installed and the plant has been retooled to put together a yet-to-be confirmed line of Hyundai models beginning with the 800 cc. Eon.

Hyundai Motor, in wire report confirmed HARI’s plan to install a line capable of assembling in between 5,000 and 6,000 vehicle units annually. Experienced engineers from Star Motors will run the assembly that will eventually hit annual production of 40,000 units. It is unclear with HARI will apply for the benefits available in the CARS program. However, if it does increase its production to the 40,000 unit target it can meet the 200,000 volume requirement.

Industry research experts BMI predict that passenger car sales in the will grow an average 24 percent annually throughout the 2017-2020 period. It also expects the local passenger car market to outperform other ASEAN countries over the same period.

Consumer led growth in the Philippines will be supported by subdued inflationary pressures, and attractive borrowing rates and the research firm’s Country Risk team expects inflation to remain within the Central Bank’s 2 to 4 percent target range through to 2020. This boost to consumer spending power also converts to more car sales, with access to cheap credit, with steady interest rates at an average 3 percent over the 2017-2020 period.

But here is where the congestion stops the growth.

Proposals by the Duterte administration to reform the taxes on vehicles will lead to slower car sales after any tax change is made. Carmakers see the proposed auto tax reforms as a downside risk to vehicle sales due to the significant increase in retail prices.

The increased taxes will create an artificial sale increase before any announcement of implementing rules and regulations and car dealers are already making sales preparations and promotions with banks and financing institutions to rush into aggressive sales programs to avert the expected sales slow down. 

This imposition of new excise taxes on brand new vehicle purchases is aimed at raising revenues and to manage vehicle volume on major roads. But the tax would raise costs of up to P400,000 to P600,000.

The Board of Investments (BOI) expects the negative impact on the growth of the country’s booming automotive industry and is studying measures on how to create the necessary balance between the meeting the government’s tax objectives and the progress delivered by automakers.

Deputy Speaker Raneo Abu of Batangas’ “Proof of Parking Space Act” is also expected to impact on vehicle sales because of the cost of building a garage for both new and currently owned vehicles. Though the proposal was made to drastically reduce the number of vehicles on the road, the garage law also wants to free roads of obstructions that only cause traffic gridlock. The law is applicable only in Metro Manila, Cebu, Davao and other highly urbanized cities.
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