Toyota eyes bigger bet on Tamaraw
Toyota Motor Philippines Corp. is ready to make additional investments for the next-generation Tamaraw as it plans to participate in the government’s Revitalizing the Automotive Industry for Competitiveness Enhancement program.
MANILA, Philippines — Toyota Motor Philippines Corp. (TMP) is prepared to make further investments in the upcoming Tamaraw, slated to join the government’s Revitalizing the Automotive Industry for Competitiveness Enhancement (RACE) program. At a preview of the Tamaraw Class 1 modern public utility vehicle (MPUV), TMP Chairman Alfred Ty stated that the company is prepared to invest again, aiming to enroll the next-generation Tamaraw in the RACE program, which is currently being finalized by the government.
Ty mentioned that they will have to await the guidelines from the Department of Trade and Industry (DTI) and the Board of Investments (BOI). The RACE program intends to succeed the Comprehensive Automotive Resurgence Strategy, offering incentives for local vehicle manufacturing. In contrast, the Electric Vehicle Incentive Strategy targets the local production of electric vehicles.
TMP has already allocated P5.5 billion for the production, parts localization, and conversion capabilities of the next-generation Tamaraw, which was launched in 2024. Sherwin Chua-Lim, TMP’s senior vice president, projected an initial production target of at least 15 Tamaraw MPUV units per month, contingent on demand. The company aims to adjust and ramp up production as needed.
The potential market for the Tamaraw MPUV is estimated to exceed 100,000 units. Although there has been positive feedback from the transport sector, purchases have not yet occurred due to the time required for claiming subsidies and securing financing approvals. The Tamaraw MPUV is eligible for a government subsidy of P210,000 per unit.
TMP is negotiating with at least 10 transport groups for potential purchases of the Tamaraw MPUV, with the vehicle priced at P1.389 million. Local suppliers involved in supporting the production of the Tamaraw MPUV include Almazora Motors Corp., whose executive vice president, Conrad Almazora, revealed that the firm has established a specialized facility for the Tamaraw MPUV, capable of producing around 300 units per month.
Consolidated investments from suppliers for the Tamaraw MPUV have totaled P555 million. Ty characterized the Tamaraw MPUV as a transformative solution for public transportation, offering peace of mind to users, owners, and drivers through after-sales service and warranty provisions.
Written by urgent.news from Philippine Star Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
