Continued growth in the philippine market during september

The September 2024 Vehicle Sales Report

The latest data from the automotive industry reveals a modest increase in new vehicle sales in September 2024, with a total of 39,542 units sold. This represents a 2% growth from the same period last year, when 38,628 units were sold. While this may seem like a significant increase, it’s essential to consider the broader context of the market.

Market Trends and Challenges

The automotive industry has experienced a remarkable recovery in recent years, driven by a combination of factors such as government stimulus packages, low interest rates, and pent-up demand. However, this growth has been largely driven by the previous two years’ rebound, which has led to a slowdown in recent months.

The central bank has increased interest rates to curb the rising inflation rate. Household consumption growth is often seen as a strong indicator of economic health. In the past, a strong growth rate in household consumption has often been a sign of a thriving economy. However, this is not the case when interest rates are high. Higher interest rates make borrowing more expensive, which can lead to reduced consumption.

Vehicle sales are rising by nine percent in the past nine months, according to data released jointly by the two associations.

The Rise of Vehicle Sales in the Philippines

The Philippines has seen a significant increase in vehicle sales over the past nine months, with a total of 344,307 units sold in the first nine months of 2024. This represents a 9% rise from the same period last year, when 314,843 units were sold.

Key Statistics

Vehicle sales rose by 9% to 344,307 units in the first nine months of Commercial vehicle sales increased by 8% to 253,542 units. Passenger car sales rose by 13% to 90,765 units. ## Factors Driving the Rise in Vehicle Sales*

Factors Driving the Rise in Vehicle Sales

According to Rizal Commercial Banking Corporation’s chief economist Michael Ricafort, several factors are contributing to the increase in vehicle sales. These include:

Newer models and more brands being launched in the market.

The company has been focusing on its hybrid and electric vehicles, with a goal of achieving 50% of its sales from these models by 2025.

Toyota’s Sales Growth and Electric Vehicle Strategy

A Shift Towards Sustainability

Toyota has been making significant strides in the automotive industry, with a notable increase in sales over the past period. The company reported a 10% sales increase to 159,088 units, marking a substantial growth in its market share.