Vehicle sales in the Philippines nosedived 18.9% in April compared to the same month last year, as escalating tensions in the Middle East dampened consumer demand. However, the same geopolitical turmoil fueled a massive surge in electric vehicle (EV) purchases.
According to data from the Chamber of Automotive Manufacturers of the Philippines, Inc. (Campi) and the Truck Manufacturers Association, only 27,225 units were sold in April, down from 33,580 a year earlier. This marks a sharper decline than March's 10.4% year-on-year drop, which followed the intensification of the US-Israel-Iran conflict.
"The customers are very much aware of what's practical during these times, thus the increased demand for energy-efficient vehicles like xEVs," said Campi president Jose Maria Atienza.
EV sales skyrocketed 288% to 5,855 units in April, led by hybrid models (4,107 units, up 242.3%), plug-in hybrids (1,329 units), and battery EVs (419 units). The trend is expected to accelerate once the government launches an incentive program for EV manufacturers, anticipated by July pending President Marcos Jr.'s approval.
Overall, year-to-date sales from January to April totaled 132,867 units, an 11.8% decline from 150,654 in the same period last year. Campi initially targeted 500,000 units for the year but now plans to recalibrate due to the Middle East crisis, described as the "biggest factor" affecting the market.
Among internal combustion engine vehicles, commercial vehicles led with 107,121 units sold year-to-date, followed by passenger cars at 25,746. Toyota Motor Philippines retained the largest market share at 49.83% with 66,206 units sold, while Mitsubishi and Suzuki followed.
Industry estimates including nonmember brands suggest total April sales reached around 32,400 units, still 8% lower than April 2025.