Nissan unveils new X-Trail in Cebu
Nissan Philippines president and managing director Antonio Zara says Nissan X-Trail is a critical part of their growth strategy in Asia and the Philippines and they expect the cities outside of Metro Manila to drive that growth
Zara says they want a share of growing Cebu market and they are intensifying presence here, hoping to add two more dealerships within five years
Country’s car industry currently at 260,000 units a year; cities outside Metro Manila seen to bring industry to 400,000 units a year within five years
ALTHOUGH they are an established car brand, officials of Nissan Philippines understand that some of their models are not as well-known as their competitors.
They hope to strengthen their presence in the country with the new Nissan XTrail, which they launched at the SM City Cebu North Wing last Friday.
Nissan Philippines president and managing director Antonio Zara said the X-Trail is a critical part of their growth strategy in Asia and the Philippines and they expect the cities outside of Metro Manila to drive that growth.
He said that the country’s car industry is currently at 260,000 units a year and that the cities outside Metro Manila, including Cebu, will have the high demand for vehicles and bring the industry to 400,000 units a year within five years.
Growth
The growth, he explained, is from an expanding middle class. Many of these buyers are buying their first brand new cars, having been used to purchasing used cars or driving motorcycles in the past. He said the cities outside of Metro Manila are strategic because the market in the capital city has been saturated, most of whom buy vehicles to replace their old ones.
Zara said they want a share of this growing mar- ket and that they are intensifying presence here, hoping to add two more dealerships in Cebu within five years.
With a developing economy, Zara said financing for those who want to buy brand new cars is readily available, although he feels the interest rates are still high.
As for the development of the car industry, Zara said the Philippine government needs to decide if it wants to continue having automobiles being manufactured here or if it is willing to import all its vehicles from nearby Asian cities. He said that either way, the consumer demand will allow them to grow.
However, he said that if the government wants to manufacture vehicles in the country, it needs to provide the necessary support such as subsidies, tax relief, relief in capital investment and developing technology.
Philippine plant
Nissan, he said, builds over 50 percent of the country’s demand in their plant in Sta. Rosa Laguna for the Urvan, Navarra, Patrol and Almera models. He said it has the capacity to manufacture more than what they are selling in the Philippines now and admitted it is underutilized.
Without the necessary support, he said it might make more sense for car companies to import the vehicles, as the local demand is not high enough to sustain a large production. He noted that the domestic demand in Thailand and Indonesia is over one million cars sold a year.
As for the X-Trail, they are offering it at special prices of P1.5 million for the 4x4 model and P1.3 million for the 4x2 model until Oct. 31.
One of the first to launch in Southeast Asia, the X-Trail is much bigger, with a seating capacity of seven and wide swinging doors of up to 80 degrees.