Pasay city: Unpaid government incentives earmarked for vehicle manufacturers participating in the Comprehensive Automotive Resurgence Strategy (CARS) program will be settled before the government introduces a new incentives program for the auto sector. This assurance came from Department of Trade and Industry (DTI) Secretary Ma. Cristina Roque during an interaction with journalists regarding the Electric Vehicle Incentive Strategy (EVIS) program.
According to Philippines News Agency, Board of Investments Managing Head and DTI Undersecretary Ceferino Rodolfo disclosed during a congressional hearing that the government has identified the budget necessary to pay the PHP1.5 billion owed to Toyota Motors Philippines Corp. as part of the CARS program incentives. The funding will be sourced from the Department of Public Works and Highways' savings, which amount to approximately PHP4 billion.
Roque confirmed the reallocation of these savings but refrained from providing additional details. During the Coconut trade fair at the SMX Center in Pasay City, Roque noted, "The PHP4 billion plus has been released. So, I'm not sure how much the balance is but that's supposed to be covered already." She emphasized that these funds would also settle outstanding payments to local parts suppliers involved in the program, reinforcing the obligation for car manufacturers to source components from domestic players under the CARS initiative to bolster the local industry.
Roque stressed that all outstanding matters would be resolved before the EVIS program's implementation within the year. She expressed optimism about the situation, stating, "That's actually better for us." The EVIS program, following President Ferdinand R. Marcos Jr.'s signing of Executive Order No. 121 on July 29, 2026, seeks to incentivize the local production of electric vehicles and their components, accommodating four manufacturers.
Mitsubishi Motors Philippines Corp. (MMPC) has indicated its intent to participate in the EVIS program with an investment of PHP7 billion. MMPC recently introduced its first electric vehicle in the country, the plug-in hybrid electric vehicle (PHEV) Outlander, though it remains unclear which model will be submitted under the EVIS program. Roque also mentioned that Francisco Motor Corporation has expressed interest in joining EVIS, and more applicants are being considered. While the current slots are limited to four manufacturers, Roque noted that the DTI would consult with the Department of Finance should additional companies express interest.
