Domestic auto parts makers are ecstatic over the revival of the Filipino car program or the “Philippine Winners” under a new Motor Vehicle Development Program (MVDP) calling it “the light at the end of the long, dark tunnel for the local automotive industry.”

Motor Vehicle Parts Manufacturers Association of the Philippines (MVPMAP) president Raffy Villareal said the creation of a new component called Philippine Brand Vehicle (PBV) in the new MVDP is the answer to calls for the development of a truly Pinoy national vehicle.

“We have long advocated that given the opportunity and the resources, the Filipino engineer can build a truly Pinoy vehicle. This is also in line with our advocacy for the local car assemblers to locally assemble at least two vehicle brands,” Villareal said.

Villareal said the proposed PBV must be locally-designed, developed and assembled vehicle for the mass market, low priced, with high local value added labor and materials and compliant to standards.

The past MVDPs had similar provisions for the development of a Filipino car but never took off. Past attempts at building a Filipino car include the “People’s Car” program under then Trade and Industry Secretary Jose Concepcion Jr. and DTI Undersecretary and BOI managing head Tomas I. Alcantara.

Then there was also the Asian Utility Vehicle sector, whose attractiveness was eroded when it was subjected to excise tax payments.

To push for the PVB thrust, the BoI paper said that PBVs shall be exempt from excise tax payments. Part of the incentive package being contemplated for the PBVs and the alternative fuel vehicles (AFVS) include zero excise tax, income tax holidays and duty-free importation of raw and semi-processed materials and capital equipment, benefits similar to those granted to locators in export processing zones and to Board of Investments-registered companies.