TMP RE-CALIBRATES GROWTH FORECAST DOWNWARDS
TMP has sold 114,117 car units, higher by 4.3 percent compared to last year’s 109,401 units
Despite optimism for a recovery at the onset of the year following an industry-wide slump in 2018, Toyota Motor Philippines Inc. (TMP) is adjusting downward its sales growth expectations for 2019 to a range of 153,000 to 155,000 units, flat from last year’s total sales of 153,004 units.
Prior to this, the industry leader forecasts sales growth to climb between 165,000 to 168,000 units this year.
TMP president Satoru Suzuki said that while they projected improvement in the macroeconomic level to boost buyer confidence, “small issues” such as the country’s traffic situation have contributed to a market slowdown.
“(In the) beginning of this year, we expected normal inflation — interest rate is already going down, economy is growing and is becoming better this year. Unfortunately, market reaction is not enough good compared to what we expected,” Suzuki told reporters in a briefing at TMP’s manufacturing facility at the Laguna Technopark Economic Zone on Monday.
CAMPI’s January to August sales report already highlighted a 2.4 percent year-to-date growth, although sales in August alone dropped by 2.4 percent.
“Now we believe several factors have combined... The traffic situation is giving some negative sentiment to the customers. Also, maybe some negative anticipations about the war on trade, like China-United States situation. Maybe the future of economy is becoming not so good to us; it slows down. Maybe they stopped the purchasing of high price items, like cars,” he added.
Still, as of January to September this year, TMP has sold 114,117 car units, higher by 4.3 percent compared to last year’s 109,401 units.
Moreover, Suzuki also projects the industry, including member companies of both the Chamber of Automotive Manufacturers of the Philippines Inc. and the Association of Vehicle Importers and Distributors Inc., to clock in about 400,000 to 410,000 in sales this year, flattish compared to the 401,803 units sold in 2018.
CAMPI’s January to August sales report already highlighted a 2.4 percent year-to-date growth, although sales in
August alone dropped by 2.4 percent.