CEBU CITY, Philippines – Driven by the strong confidence in the Philippine motoring industry, Chery Motor Philippines Inc., the exclusive distributor of China’s Chery cars, has announced that it will open a full-line assembly plant in the next three years, a top company official said here Friday.

Chery Motors Philippines Chief Executive Officer Si-Chung Chang said the company is looking at Laguna as the site for the local manufacturing operations and in the long run the facility will produce cars for the Philippines and its neighboring countries.

“We will start small and then expand later on. If the production hits 1,000 car units a month, the facility will start exporting to Vietnam, Laos, Cambodia, and other countries where there is a strong demand for left-hand drive cars,” Chang said.

In the meantime, Chang said the company will collaborate with a local assembly plant for its initial production before the year ends. At present, two compact Chery models are being eyed for production.

Chang said if they see improvement in the business with the facility here, they will later set up a company-owned assembly plant, possibly in three years. The estimated investment for the plant is $20 million.

“So far the market for China-made cars is growing in the Philippines. Chery China is also looking highly at the Philippines as a growth market,” Chang said, identifying population growth as one main driver that will fuel growth in the industry.