By Ramon Tomeldan
In the race for control of the fledgling market for new energy vehicles (NEVs), Toyota and Tesla are surging to the front, as the industry paints an increasingly electrified picture of the Philippines’ automotive landscape.
Between January and May 2025, Filipinos purchased 10,433 EVs, capturing 5.6% of total vehicle sales—a modest but promising signal of changing consumer habits, according to an industry report.
The momentum is powered largely by hybrid electric vehicles (HEVs), which accounted for 8,536 units, followed by 1,779 battery electric vehicles (BEVs) and 118 plug-in hybrids (PHEVs). The shift reflects an evolving consumer preference for cleaner, more efficient mobility, even as infrastructure and policy continue to catch up.
Toyota Motor Philippines represents the local unit of the Japan-based zaibatsu, in tandem with the George Ty conglomerate. Meanwhile, Tesla Motors is controlled by the eccentric billionaire Elon Musk, a Trump ally-turned-vocal critic, who also owns Starlink and SpaceX.
Philanthropist and tycoon Ramon S. Ang of the food and beverage conglomerate SMC is carving out a niche, fielding his high-end BMW brand in the PHEV segment.
In the driver’s seat
According to the Chamber of Automotive Manufacturers of the Philippines, Inc. (CAMPI), Toyota Motor remains the unchallenged leader in the hybrid space, selling 7,012 HEVs alone—a commanding 82 percent of electrified vehicle sales. Honda Cars, another Japan-based marque, came in a far second with sales of 550 units, equivalent to 6.6 percent.
Meanwhile, Tesla is gaining traction in the BEV category. It sold 1004 units, or 56 percent of the BEV segment. Its expanding presence in premium and tech-savvy circles—fueled by cachet and the appeal of clean energy—has helped broaden EV interest beyond early adopters. Nissan Motors was within striking distance, disposing of 474 units or 26.5 percent.
In the plug-in hybrid EV segment, the European brand BMW is dominating this space with 32 units sold, or 27 percent. Jetour Auto closely followed with 30 units or 25 percent.
Completing the merry mixed-up, China-made autos such as BYD, Hongqi, Foton, Geely, and GWM are swarming the market with their brand of electrified mobility.
Beyond the plug
The country’s EV transformation isn’t just happening on dealership floors. According to the Department of Energy (DOE), there are now 912 public charging stations nationwide, with a concentration primarily in the National Capital Region. While still a far cry from the millions of gas pumps sprawled across the archipelago, the growing charging network is beginning to fill in crucial connectivity gaps.
The DOE also reports 739 BEV models, 75 PHEVs, 95 HEVs, and 83 light EVs currently recognized for sale—an increasingly diverse lineup that hints at the broader consumer base now exploring EV ownership.
SUVs steer the trend
Filipinos aren’t giving up on size. Out of 24,286 registered EVs (based on 2024 Land Transportation Office data), 20,722 are sport utility and utility vehicles. The rest include 2,548 passenger cars, 983 motorcycles and tricycles, and a handful of buses and trucks. It’s a reflection of the country’s ongoing affinity for versatile, all-purpose vehicles that are suited to both urban and rural roads.
Incentives spark change
At the heart of the electrification push is the Electric Vehicle Incentives Strategy (EVIS)—the government’s multi-billion-peso blueprint to drive adoption, innovation, and local manufacturing under the Electric Vehicle Industry Development Act (EVIDA). The strategy offers:
- Income tax holidays and customs duty exemptions for EV manufacturers under the CREATE law
- Capital subsidies for local battery producers and charging infrastructure
- Support for green mining and parts production, covering strategic materials like lithium and nickel
- Discount vouchers for buyers of electric public utility vehicles (₱500,000), three-wheelers (₱20,000), and e-bikes (₱10,000) under the e-PUV+ program
Headwinds ahead
Transport regulators view electric vehicles (EVs) as a strategic solution to reduce dependence on imported fuel, cut emissions, and modernize the country’s mobility landscape.
The Department of Transportation, in collaboration with other agencies, is actively implementing the Comprehensive Roadmap for the Electric Vehicle Industry (CREVI), which outlines targets for EV fleet share, charging station deployment, and local manufacturing support.
Despite the promise, implementation hurdles abound. Manufacturing capacity is still nascent. Charging stations are unevenly distributed. For many Filipino drivers, EVs remain financially out of reach, even with incentives.
Investor confidence hinges on clearer guidelines and more streamlined approval systems. There are also mounting concerns over grid reliability, particularly in rural regions where EV expansion is most needed.
Still, the long-term outlook is electric. The CREVI envisions 9 million EVs and 400,000 charging stations nationwide by 2040. If targets are met, the Philippines could reduce emissions, enhance urban air quality, increase energy independence, and establish a globally competitive clean technology sector.
For now, Toyota and Tesla are writing the opening chapters. The question is—will the rest of the market step on the gas pedal to meet them? Fingers are crossed.
