Honda Philippines Cites Php 5.8B Contribution to Philippine Economy

Honda group of companies in the Philippines reported Php 5.8 billion of taxes contributed to national treasury.

The Honda group consists of Honda Philippines Inc. (HPI) that takes care of manufacture and distribution of motorcycle units with factory located in Sto Tomas Batangas and Honda Cars Philippines, Inc. (HCPI) that takes care of assembly and distribution of automobile units from its headquarter in Santa Rosa Laguna.

The group also includes Honda Parts Manufacturing Corp. (HPMC) that makes transmissions and aftermarket spare parts primarily for exports with factory located in Binan Laguna.

Based from sales reports submitted to MDDPA (Motorcycle Development Program Participant’s Association, Inc) and CAMPI (Chamber of Automotive Manufacturers of the Philippines, Inc.), Honda had a combined motorcycle and automotive sales of 358,125 units, capturing 62% of the motorcycle industry and 15% of the auto industry.

With the motor vehicle industry in full swing and due to favorable economic condition in 2007, the Honda companies generated a 22% increase in its gross sales. Honda has a total of 468 motorcycle dealers and 23 automobile dealers across the country.

A total of 859,538 units of motorcycles and automobiles were newly registered at the Land Transportation Office (LTO). This means that 42% of all new motorized vehicles that we see on the road have Honda badges on them.

Since 2001, Honda motorcycles have been dominating the market due to its wide range of product lines. Geared towards providing ultimate customer satisfaction, Honda offers motorcycles designed to suit every rider’s needs.

The most popular model in the bunch is the XRM 125, comprising 22% of HPI’s total sales. The XRM 125 is the first motorcycle to comply with EURO 2 standards in the Philippines.

EURO standards set the acceptable limits of emission particles of new models. Long before the market turned conscious with environmental issues, Honda has already been offering fuel efficient and environment-friendly products.

Meanwhile, Honda Cars Philippines, Inc. is still one of the best-selling automobiles in the market with the introduction of Honda CR-V in March 2007 and with the relentless reception on the Honda Civic.

Honda CR-V’s sedan-like ride and comfort, premium overall design and dynamic engine performance makes it the 2007 Best 2WD Crossover as declared by the Car Awards Group, Inc. (CAGI). CAGI is a group of motoring journalists from print, broadcast and new media who conducts qualitative and quantitative tests on nominated vehicles.

Another chart-topper is the multi-awarded Honda Civic, recipient of highly esteemed Car of the Year and Automobile of the Year awards.

Dawning Honda’s operations in the Philippines was the production of locally-assembled motorcycles in 1973. Economic crisis back in the 80’s didn’t prevent Honda from pursuing its commitment to the Philippine market.

By 1991, Honda expanded its presence through local production of the Honda Civic. The success of the Civic among the yuppies eventually brought about the introduction of the Accord, City and the CR-V.

Through the years, Honda has built a reputation of high product quality, revolutionary and earth-friendly technologies, devoted customer service and high level of service quality.