Though still seen as a “satisfactory” turnout, automobile sales appeared to have slacked in January, the same month increased levies were placed for vehicular purchases under the Tax Reform for Acceleration and Inclusion (TRAIN) law.
According to an Inquirer.net report, recent data jointly presented by the Chamber of Automotive Manufacturers of the Philippines, Inc. (CAMPI) and Truck Manufacturers Association (TMA) revealed the deceleration compared to January last year’s sales.
Car sales of member companies for the first month of 2018 grew to just 4 percent, amounting to 31,645 units, from January 2017 which saw 30,425 units sold.
A Malaya Business Insight article also pointed out that the current figures reflected a 30 percent drop from last year’s December sales of 45,494 units.
CAMPI president Rommel Gutierrez also noted in a statement that the “modest” sales growth was “considerably low” versus the 27 percent progress of January 2017 from the same month in 2016.
Nonetheless, he said, according to the Inquirer.net report, that they at the organization “still consider January 2018 sales as satisfactory and a good start for the auto industry”.
The same report mentioned that passenger car sales showed a 10.9 percent plunge to 9,790 units from January last year’s 10,984 sold units.
On the other hand, sales in commercial vehicles flourished to a 12.4 percent growth.
January of this year was the first month of implementation of the TRAIN law which added excise taxes on automobiles and sugar-sweetened beverages, among other certain goods, as personal income taxes were cut for a higher take-home pay.
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