MANILA Feb 27 Mitsubishi Motors Corp's
subsidiary in the Philippines will nearly double production to
40,000 vehicles this year as it jumpstarts participation in the
government's car manufacturing incentive scheme, its president
said on Monday.
Growth in Philippine motor vehicle sales was the third
fastest in Southeast Asia in 2016, but production is small
compared with its neighbours.
Local production will hit 40,000 units this year, primarily
due to the introduction of the Mirage hatchback and sedan
models, Mitsubishi Motors Philippines Corp President Yoshiaki
Kato told Reuters.
Mitsubishi manufactures the Adventure SUV and L300 van in
the Philippines. Its facility, south of the capital, has an
annual capacity of 50,000 units and output was around 22,000
vehicles in 2016, company data showed.
The company is banking on increasing incomes and demand, and
infrastructure development, in one of the world's fastest
growing economies, Mitsubishi First Vice President Dante Santos
Only Mitsubishi and the Philippine unit of Toyota Motor Corp
have qualified for the government's $600 million
automotive incentive programme to boost output in the auto
industry, which involves tax breaks.
Mitsubishi, the Philippines' second largest selling
automaker, has committed to invest 4.3 billion pesos ($85.6
million) to produce 200,000 units of Mirage in six years.
Kato said sales are targeted to reach a record 70,000 this
year from around 60,000 in 2016.
(Reporting by Neil Jerome Morales, editing by David Evans)