JAPAN’s Mitsubishi Motors Corp. (Mitsubishi Motors) is studying the possibility of producing hybrid vehicles in the Philippines amid rising domestic sales.
“For the moment, I think hybrid vehicles would be a good solution for the Philippines,” Mitsubishi Motors President and CEO Takao Kato told reporters last Friday.
“…I think it’s a bit too early to introduce BEVs (battery electric vehicles) to the Philippines,” he added.
BEVs run purely on battery power and need to be charged while hybrids, which have an internal combustion engine that helps charge a battery pack, are currently the biggest-selling EVs in the country given a dearth of charging stations.
With the technology being both “reasonable and environmentally friendly,” he said the company was considering hybrid vehicle production at its local assembly plant under Mitsubishi Motors Philippines Corp., although he acknowledged the challenge of establishing a local supply chain.
“For the moment, there is no hybrid component system supplier in the Philippines,” Kato noted.
Globally, Mitsubishi Motors is aiming to expand its hybrid offerings and production, he said.
Amid recent pullouts from EV ventures in China and Renault’s Ampere project in Europe, Kato said that Mitsubishi Motors intended to develop its hybrid systems independently, at least in Asia.
Partnerships with other companies like Nissan and Renault could still be leveraged in select regions such as Europe, he added.
Kato was in the Philippines for the launch of Mitsubishi Motors Finance Philippines Inc. (MMFP), a joint venture with Security Bank Corp.
MMFP President and CEO Satoshi Nakano said the company was aiming for an over 20-percent share of the domestic financing market.
Kato, for his part, said: “I would like them to target 25 percent or more [market share] in five years.”
Security Bank President and CEO Sanjiv Vohra, meanwhile, said the venture was banking on consumer trust in both Mitsubishi and the financial institution.
Security Bank Executive Vice President Rahul Rasal said the the bank would no longer be directly servicing Mitsubishi transactions with MMFP now in operation.
“It allows us to focus in terms of products, process … and leverage our platforms specifically for the needs of Mitsubishi buyers,” he said of the venture.
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