The Philippine automotive industry ended the first half in negative territory, as its sales performance trailed last year’s pace despite showing signs of improvement in June, industry data showed Thursday.
The Chamber of Automotive Manufacturers of the Philippines Inc. (Campi) and the Truck Manufacturers Association (TMA) reported that total vehicle sales reached 204,557 units from January to June, down 11.4 percent from 230,912 units sold in the same period last year.
In June alone, industry sales stood at 37,231 units, 8 percent lower than the 40,483 units recorded in June 2025 but 11 percent higher than in May, making it the best-performing month of 2026 to date.
Prior to June, auto sales fell due to higher oil prices which made internal combustion engines (ICE) less attractive to consumers.
Combined with industry estimates, the total auto market moved around 42,000 new vehicles in June, reflecting an 18.7-percent increase from May.
Despite the year-on-year decline, Campi President Jose Maria Atienza said June’s performance points to stronger demand heading into the second half.
‘At Campi’s recently held Philippine International Motor Show (PIMS), a number of new ICE and various Electrified Vehicle (xEV) models were launched and these are expected to add momentum to the improving market demand,’ Atienza said.
‘This June, we saw sales of both Internal ICE vehicles and xEVs rise. Industry sales of gas and diesel cars grew by 10 percent versus May due to more stable fuel prices, while xEVs grew by 49.2 percent thanks to improving supply level.’
Passenger car sales in the first half declined 11.3 percent to 40,503 units from 45,647 units a year earlier, accounting for 19.80 percent of total industry sales.
Commercial vehicle sales likewise fell 11.4 percent to 164,054 units from 185,265 units, representing 80.20 percent of the market.
Among commercial vehicle categories, Asian utility vehicles and multipurpose vehicles slipped 8.1 percent to 37,475 units from 40,788 units, while light commercial vehicles declined 12.3 percent to 121,813 units from 138,865 units.
Sales of light-duty trucks and buses dropped 12.1 percent to 2,936 units from 3,341 units, while medium-duty trucks and buses fell 11.1 percent to 1,526 units from 1,717 units.
Heavy-duty trucks and buses posted the steepest decline, plunging 45.1 percent to 304 units from 554 units in the same period last year.
Toyota Motor Philippines Corp. remained the top-selling Campi-TMA member in June with 17,627 units sold, followed by Mitsubishi Motors Philippines Corp. with 6,535 units and Suzuki Philippines Inc. with 1,532 units.
EVs buck trend
Sales of electrified vehicles (xEVs) surged 132.7 percent to 31,381 units in the first half from last year’s 13,488 units, raising their share of total industry sales to 15.34 percent from 5.84 percent in 2025.
In June alone, xEV sales reached 6,995 units, up from 6,032 units in May and more than double the 3,057 units sold in June 2025.
Campi said battery electric vehicles (BEVs), hybrid electric vehicles (HEVs) and plug-in hybrid electric vehicles (PHEVs) accounted for 28 percent of total June vehicle sales, up 6 percentage points from May.
BEV sales jumped 256.8 percent to 8,702 units from 2,439 units a year earlier, while plug-in hybrid electric vehicle sales surged 3,356.9 percent to 5,531 units from just 160 units.
HEVs remained the largest segment within the xEV market, with sales rising 57.5 percent to 17,148 units from 10,889 units in the comparable period last year. The figures cover battery electric, hybrid electric and plug-in hybrid vehicles recognized by the Department of Energy as of July 8.