DTI 4A Cars Program

The Department of Trade and Industry CALABARZON recently gathered the leading automotive industry players for the 1st Regional “Kapihan” for Automotive Industry in pushing for the agency’s Comprehensive Automotive Resurgence Strategy (CARS) program in Cabuyao City, Laguna.

Toledo said that the activities will start a collaboration between the government and private sector to integrate and push CALABARZON’s automotive industry towards an inclusive and prosperous Philippines.

“We, in DTI, really want to uplift the capacity and competitiveness of our MSMEs. We want them to be part of the value chain of the industry. Hence, we are asking for the participation and commitment of the industry players, specifically the private sector, and government agencies to make it happen. The 7M’s (mindset, mastery, mentoring, market, machine, money, and business model) of DTI Secretary Mon Lopez would be a good strategy to promote productivity and profitability,” said DTI CALABARZON Director Marilou Toledo.

The CARS Program aims to jumpstart the Philippine automotive industry and make the country an auto manufacturing hub in the ASEAN region. The Program also intends to raise the production level to a competitive scale by providing $1,000 per unit fiscal support for the production of three models with a 200,000-unit production requirement over six years and mandatory local production of body shell and large plastic parts. It is expected to amplify the Philippine workforce, strengthen industrial linkages and attract additional investments.

Participating companies were the Federation of Automotive Industries of the Philippines (FAIP), Chamber of Automotive Manufacturers of the Philippines (CAMPI), Philippine Parts Maker Association (PPMA), Motorcycle Parts Producers and Exporters Association (MCPPEA), Phil. Ecozones Association (PHILEA), Laguna Chamber of Commerce and Industry (LCCI), some government agencies such as the Board of Investments (BOI), UP National Center for Transportation Studies, Philippine Council for Industry, Energy, Emerging Technology Research and Development (DOST-PCIEERD), National Economic and Development Authority CALABARZON, Deptartment of Public Works and Highways CALABARZON, Department of Science and Technology CALABARZON, and the Japan International Cooperation Agency – Nomura Research Institute (JICA-NRI).

While the Philippines moved up to become the second fastest growing automotive market in the Southeast Asia at the start of 2017, its market is smaller compared with other ASEAN countries. Furthermore, its manufacturing capabilities are mostly oriented towards the domestic market rather than regional chains.♦