Car sales see bumpy ride

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After a dismal performance in April, vehicle sales bounced back in May though still way below their monthly average in better times.

Still, industry stalwarts are hopeful of a gradual recovery by the fourth quarter of the year.

In a joint report, the Chamber of Automotive Manufacturers of the Philippines Inc. (Campi) and the Truck Manufacturers Association said total vehicle sales zoomed 3,500 percent to 4,788 units in May from 133 units in April, the height of the lockdowns that forced the closure of dealers nationwide.

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That brought total sales from January to May to 69,463 units, down 51 percent from 142,185 units in the same period in 2019.

Rommel Gutierrez, Campi president, in a statement said despite the recovery in sales, the industry anticipates a dampened consumer demand for new cars for the coming months because understandably cars are considered as big-ticket investments.

Gutierrez said the spike in monthly sales was expected coming from record low sales in April which was followed by the easing of community quarantine and lockdown restrictions placed over Luzon in May.

“While May figures are still way below the industry’s monthly average sales performance, we welcome any positive signs of recovery amid the pandemic and this season of new normal where dealerships have resumed operations at a reduced level and stringent safety protocols are being implemented at all times,” he said.

“This year we will not reach the level of last year. While we have slow sales, but next year will be a better year,” he added.

Vince Socco, chairman of GT Capital Auto Dealership Holdings, expressed confidence the market will bounce back but that consumer confidence will determine the pace by which sales will grow.

“Mobility and transportation are essential drivers of economic recovery. As businesses restart, they will need to move goods, services and people,” Socco said,

On a month-on-month, the industry sales fell by 84.6 percent from 30,998 units sold during the same period last year.

Last month’s passenger car sales led all segments with 1,389 units which is a 5,242 percent surge from just 26 sold in April.

From May 2019, that represented a 85 percent decline from 9,053 units.

Sales of light commercial vehicles surged 4,383 percent to 2,511 units from 56 in April while sales of Asian utility vehicles rose 3,368 percent to 659 units just 19 in April.

Sales of light trucks improved 509 percent to 128 from 21.

Trucks and buses sales toltalled 101 from just 11 in April.

As of May, Toyota Motor Philippines Corp. led all assemblers with 28,163 units or 40 percent of market share followed by Mitsubishi Motor Philippines which sold 12,865 units or 18 percent and; Nissan Philippines Inc., 8,696 units o 12 percent of the market.

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