Avid’s 2019 sales lift industry’s grand total above 410,000 target

Although the Association of Vehicle Importers and Distributors (AVID) posted a 12 percent sales growth in December 2019, versus the same month in 2018 by selling 8,089 units, its full year sales of 87,984 units were 0.5 percent less than the total sold in 2018.

What’s more, AVID’s full year 2019 total includes the sales of Suzuki (23,919) and Ford (21,900), both of which were already counted in the full year 2019 sales report of the Chamber of Automotive Manufacturers of the Philippines, Inc. (CampiI).

So if the combined sales (45,819 units) of Suzuki and Ford were to be deducted from AVID’s 87,894, the importer group’s sum total goes down to 42,165.

For some reason, Suzuki Philippines, Inc. (SPH) and Ford Motor Co. Philippines, Inc. are members of both AVID and Campi. Since Campi releases its full year sales report way ahead of AVID, the natural tendency is to count the sales of SPH and Ford as part of Campi’s sum total, rather than AVID’s.

ABOVE TARGET. The good news is that when AVID’s actual 2019 sales of 42,165 are added to CampiI’s 369,941, the result is 412,106, which is 2,106 units more than the 410,000 units that the auto industry was targeting for 2019.

In a press statement, AVID president Ma. Fe Perez-Agudo, who is concurrently the president/CEO of Hyundai Asia Resources, Inc. (HARI) noted that the sales performance of AVID members in the passenger cars (PC) segment climbed 5 percent in December 2019 vs the same year-ago month, while in the light commercial vehicles (LCV) segment, sales increased by 16 percent in the last month of 2019, compared to December 2018.

HARI sold more vehicles in the PC segment than all reporting AVID members combined with a total of 17,761 units in 2019, followed by SPH with 8,621 units sold.

Sales in the LCV segment year-on-year declined by 1.1 percent but rose 16 percent in December 2019 as reported earlier. Ford leads the LCV segment with 19,932 units sold, followed by SPH with 15,298 and HARI a close third with 15,095 units sold.

ENTERING THE DECADE. Agudo said that AVID’s performance in the last month of the year augurs well for the automotive industry entering the Year of the Metal Rat and the new decade.

“The continued easing of inflation rates, lower fuel prices, and increased government spending will only bolster sales for the group,” she added. “We will complement these positive indicators with new models, value-packed service offerings, and easier ownership schemes.”

The AVID head expressed confidence that with the approval of the P4.1 trillion national budget for 2020, of which the Public Works and Highways Department has one of the largest shares, the auto industry’s performance will gain traction in the new decade with the help of its importers bringing in more models that meet the requirements of various markets, for the Filipino people.

The major beneficiary of public works and highways projects is the commercial vehicles (CV) segment of the auto industry as the demand for more heavy duty trucks and buses increases.

CV SEGMENT. Agudo pointed out that in the CV segment, AVID recorded a 63 percent increase in sales or a total of 907 units in 2019 versus 2018. She claimed that in December alone, CV sales soared by 98 percent with 119 units sold, versus November 2019, with Hyundai trucks and buses dominating the segment.

Concluding, Agudo said: “It is appropriate that the recent budget carries the theme ‘Continuing the journey to a more peaceful and progressive Philippines’ since it focuses on critical infrastructure, human capital and development, and peace and order initiatives. AVID hopes to contribute to this aim by offering better mobility solutions to both the private and public business sectors.”

The 15 incumbent members of AVID are (alphabetically listed): Auto Nation Group or ANG (Mercedes-Benz, Chrysler, Jeep, Dodge and Ram), British Bespoke Automobiles, Inc. or BBAI (Rolls-Royce), British United Automobiles, Inc. or BUAI (MINI Cooper), DBPHILS Motorsports, Inc. or DMI (Aston Martin), Ford Group Philippines, Inc. or FGPI, JAC Automobile International Philippines, Inc. or JAIPI (JAC light and heavy vehicles, bus, coach, heavy equipment), Hyundai Asia Resources, Inc. or HARI, Legato Motors, Inc. or LMI (GAC), Motor Image Pilipinas, Inc. or MIPI (Subaru), PGA Cars (Porsche, Audi, Lamborghini, Bentley), SMC Asia Car Corp. (BMW), Suzuki Philippines, Inc. or SPI, Triesenburg Auto Corp. or TAC (JAC PCs and LCVs) and The Covenant Car Company, Inc. or TCCCI (Chevrolet and MG).