Philippines Maneuvering for Hybrid, EV and Alt-Fuel Vehicle Assembly

1 January 2006

Tribune. The Philippines National Economic and Development Authority NEDA has endorsed for President Arroyo’s approval an executive order that would remove tariffs on components imported for the local manufacture of hybrid, electric, flex-fuel and compressed natural gas vehicles.

Current rates of import duty for motor vehicle parts and components are 1% and 3% for companies under the Most Favored Nation (MFN) and Common Effective Preferential Tariff (CEPT) schemes respectively.

Ford recently announced it will build a $20-million flexible fuel engine factory in the Philippines. (Earlier post.) The Philippine government hopes that other automakers will follow that example.