Volkswagen Phls sees sales hitting 2,000 units

MANILA, Philippines - Volkswagen Philippines is looking to grow its sales within a five-year period to become a major player in the local automotive industry.

Volkswagen Philippines president and chief executive officer John Philip Orbeta said they want to grow their sales to around 2,000 units this year and reach up to 7,000 units by the fifth year, to become a significant automotive player in the country.

“I think we really want to become a major significant player in the auto industry in the Philippines. And second, if we can have big enough volumes, it might be easier to then convince Volkswagen to consider the Philippines for manufacturing,” he said.

Germany’s Volkswagen Group which already has a small assembly facility in Malaysia, is considering setting up another manufacturing plant in the Southeast Asian region.

While Indonesia and Thailand have been shortlisted as possible sites for Volkswagen’s manufacturing facility in the region, Orbeta said he has also recommended that the Philippines be considered.

As both Indonesia and Thailand offer an attractive package of incentives for vehicle manufacturers, he said the Philippine government’s support for automotive manufacturing will help make the country a more appealing location for a Volkswagen plant.

“I think the government has to say auto manufacturing is a priority,” he said.

Earlier, Trade Secretary Gregory Domingo told reporters the government has made a pitch to Volkswagen to consider the Philippines for its manufacturing facility in the region.

The Volkswagen Group operates 107 production plants in 19 European countries and a further eight countries in the Americas, Asia and Africa.

As Volkswagen is aiming to grow its sales in the Philippines, the firm is set to launch new vehicle models this year.

Volkswagen Philippines chief operating adviser Klaus Schadewald said models to be rolled out this year are the Golf GTI, Touareg special model, Polo Hatchback, Tiguan R Line and Passat B8.

Volkswagen vehicles being sold here at present are the Beetle, Jetta, Polo Notch, Touran, Tiguan and Touareg.

The company is also expanding its showrooms by opening two this year to add to its existing five facilities located in Bonifacio Global City in Taguig City, Quezon Avenue in Quezon City, Alabang in Muntinlupa City, Greenfield in Mandaluyong City and Cebu.

Orbeta said the firm is looking at Pampanga and either Davao or Cagayan de Oro as possible sites for the new showrooms.