Philippines vehicles market in 2025 is decelerating. YTD figures up to August 2025 grew 3.7%, slowing down after H1 momentum. BYD was the standout, up 384.3% into 10th and leading the EV segment.
Economic Environment
In 2025, the Philippine economy is forecast to grow by 5.6%, supported by strong household consumption, low inflation, and a resilient labour market. GDP is expected to pick up to 6.0% in 2026 as financial conditions ease and public infrastructure spending rises. Inflation is projected to remain contained at 2.0% in 2025, rising modestly to 3.1% in 2026, amid stable domestic demand and currency levels. Monetary policy is set to continue easing over the next two years, while fiscal policy will remain moderately restrictive, aiming to reduce the deficit from 5.7% of GDP in 2024 to 4.6% in 2026.
The policy mix is designed to support growth while ensuring fiscal sustainability. Investment activity is expected to recover, helped by lower interest rates and reforms encouraging foreign direct investment. Risks to the outlook are balanced: a sharper slowdown in the U.S. or China could impact exports and remittances, while recent liberalisation measures may boost capital inflows. In Q1 2025, GDP grew by 5.4%, with strong consumption offsetting weaker investment. Inflation fell to 1.4% in April, driven by lower food and energy prices, and the peso has remained stable.
Automotive Industry Trend and Outlook
After peaking in Q1, sales in the Philippines vehicles market are slowing down. Looking at YTD data up to August, 312,382 units were sold, gaining 3.7%.
Brand-wise, Toyota secured its spot on top, growing 4.1% and with a share of 46.8%. Mitsubishi followed in 2nd with a 18.5% share (+2.8%), while Nissan -up 1 spot- ranked 3rd (-18.3%). Ford -down 1 spot- ranked 4th (-21.3%), while Suzuki (+9.2%). Closed the Top 5.
Notably, BYD climbed 6 spots into 10th (+384.3%).
Looking at the best-selling models the Toyota Vios was still on top with a 2.8% year-on-year gain in sales, followed by the Toyota Hilux, down 1.8%.
EV Market Trend and Outlook
The Philippines EV market undergoes a structural shift. It gained 347.1% up to August 2025 and reached a share of 3% on the total. The Philippines government has boosted EV adoption by extending zero tariffs on battery EVs, while BYD has emerged as a key player, driving local EV network development
Chinese automaker BYD led the market, securing a market share of 55% while growing 384.3%. Tesla followed in 2nd, growing 11 spots while MG ranked 3rd, up 308.6%.
Medium-Term Market Trend
The Philippines vehicles market was one of the fastest-growing in the decade before COVID-19, with annual vehicle sales rising from 250,000 to over 400,000 by 2017. That year, sales peaked at 460,000 units, setting a record that remained unbeaten until 2024.
The pandemic in 2020 led to plant shutdowns and dealership closures, causing the market to plummet by 40.9%, reaching its lowest level in seven years. Despite lingering challenges in 2021, the market rebounded strongly, surpassing 350,000 units in 2022 with 27% growth.
This recovery trend continued in 2023 and 2024, with 8.4% growth pushing sales to 470,000 units, the highest in a decade. With an 85.4% increase over the past 10 years, the market outlook remains highly positive, with the potential to approach 1 million annual sales, making it one of the best-performing markets leading up to 2030.
Tables with sales figures
In the tables below we report sales for top 10 Models
