Toyota Motor Philippines Corp. (TMPC) is mapping out plans in the country in the next five years in light of the robust growth in automotive sales and the new industry development program that the government is trying to implement to attract more auto assembly and auto parts investments in the country.

TMPC Vice Chairman Alfred Ty told reporters at the recently-concluded 3rd Philippine International Motor Show that the domestic market is very encouraging and the whole industry is enjoying growth.

“With this kind of growth, we have to keep the momentum and growth to continue our leadership position,” Ty said.

He even said that the problem of under utilization of assembly capacities of existing local auto assemblers is a good problem for the industry in light of the strong demand for motor vehicles.

“Our plant utilization has improved in line with the market growth and with this we need to think about the future,” he said.

Capacity utilization of the existing assembly plants of auto assemblers in the country is estimated at only 40 percent. TMPC has a registered production capacity of 25,000 units and is said to be nearing full utilization. At present, TMPC is assembling only two units Innova and Vios at its Laguna plant while all the rest or at least half of its sales are imported as CBU packs either from Thailand or  Japan.

He, however, hinted that TMPC would rather look at expanding its production capacity at its existing plant instead of doing assembly of new models here. Ty is not even keen on the idea of bringing back the assembly of its utility vehicle Tamaraw saying the Tamaraw-FX has evolved into the new and more modern Innova.

He further said that an effective and clear automotive program is key factor in the decision-making process of car manufacturers to expand production here in the country.

At present, the Board of Investments is crafting the implementing rules and regulations of the new Motor Vehicle Development Program (MVDP) under Executive Order 877-A, which is trying to address the need to further develop the industry and attract more assemblers and auto parts manufacturing investments.