The auto industry started the year right with a whopping 33.8 percent jump in sales to 11,763 units against 8,791 units in January last year defying a traditionally slow month in January, reported the Chamber of Automotive Manufacturers of the Philippines Inc. (CAMPI).

"A high January sales volume augurs well for the year. It is a good start for stronger sales for 2010," said CAMPI president Elizabeth H. Lee.

Of the total January sales, the passenger car segment posted a 14.3 percent increase with sales reaching 3,856 units from 3,375 units in January 2009 while the commercial vehicle segment continued its dominance with a robust 46 percent growth after brisk sales of 7,907 units versus 5,416 units in January last year.

Commercial vehicle sales account for 67.2 percent of the total market and passenger car with 32.8 percent share.

"We are looking forward to a much stronger growth for this year 2010 with increased spending as a result of bullish OFW remittances projected as high as 8% or exceeding $18 billion; increased appetite for investment and business expansion; continued liquidity in the market; ease in taking out loans and availability of loans serving buyers needs; ....not to mention this being an election year as well," Lee said.

To a certain extent, Lee said, strong vehicle sales are reflective of a stronger economic environment.

“With the robust growth of CV sales particularly AUV and LCV sales where most are used for both family and for business use, Filipinos are now showing more aggressiveness in either starting a business or expanding their current businesses," Lee said.

Sales of AUVs (Asian utility vehicles) increased by 53.5 percent as sales reached 2,606 units from 1,698 units in January last year.

LCV (light commercial vehicle) sales, which consist of pick-up trucks, vans, compact SUVs and full SUVs continue to dominate the CV segment with a robust growth of 46.7% versus the same period last year with sales hitting 5,176 units from 3,528 units in January 2009.

The LCV is also the most resilient segment with a minimal expected decline from seasonally high December sales to January sales with only a 3.3% decline. Despite the expected decline, January sales still outperformed the past year's average sales volume.

The sharp growth in this segment further validates the growing trend of buyers preference towards dual purpose vehicles used for both personal and business use, Lee said.