Manila: The assurance of continued funding for the Comprehensive Automotive Resurgence Strategy (CARS) program signals the government's commitment to strengthen the country's electric vehicle (EV) industry.

According to Philippines News Agency, the budget assurance for the program is extremely important because the electric vehicle incentive strategy (EVIS) depends on a strong automotive manufacturing base, as stated by Electric Vehicle Association of the Philippines president Edmund Araga. He emphasized that scaling electric mobility is not possible if the underlying ecosystem-vehicle assembly, parts manufacturing, and supplier development-is weakened.

Araga further mentioned that the move boosts investor confidence and demonstrates that the Philippines is a reliable partner for long-term EV investments. The Department of Budget and Management, Department of Finance, and Department of Trade and Industry announced in a joint statement that financing for the program, which was previously vetoed under the 2026 national budget, will come from the budget of the Department of Trade and Industry and the Board of Investments.

He explained that the country's transition to EVs is not just a shift in technology, but a major industrial transformation requiring stability in the broader automotive sector. Araga noted that EVIS is about building an entire electric mobility industry, not just importing EVs, highlighting the need for continuity and credibility in government incentive programs.

Araga concluded by saying that when the government honors commitments under CARS, it sends the right signal that the Philippines can be trusted and that industrial transformation under EVIS will be supported in a structured and responsible manner.