Pasay city: The target of having at least 2.5 million electronic vehicles (EVs) on Philippine roads by 2040 seems achievable as more innovative units are being introduced, and the government remains committed to boosting the sector, an industry official said on Thursday. Citing end-July 2025 data of the Land Transportation Office, Edmund Araga, president of the Electric Vehicle Association of the Philippines, in his speech during the opening ceremony of the Electric Vehicle Summit at the SMX Convention Center in Pasay City, said EV registration rose to 29,715 units, higher than the 24,000 registered for the entire 2024.
According to Philippines News Agency, the latest available number represents about 5 percent of new vehicle registrations, which is thrice the figure two years ago, and will likely push the end-2025 figure to 35,000 units. "The bold target is to make EVs account for at least 50 percent of all vehicles on our roads by the year 2040. Our sector is hoping that the attractive incentives and perks offered to our motorists to shift to electric will further go full swing," he said.
The government has supported the use of EVs through the Electric Vehicle Industry Development Act, or EVIDA Law. Among others, the EVIDA Law exempts EVs from the Unified Vehicular Volume Reduction Program for eight years upon the law's implementation, and tax breaks and temporary zero-tariff are given to manufacturers for a certain period to encourage investors. Araga noted that in China, the shift to EVs "is not powered by aggressive pricing but by impressive features."
"Cars are judged like smartphones now. Thus, technology has three to six times influence than price. It was manifested in China, and logically, it will also reflect on our local market," he said. Araga, in turn, also noted the increase in the number of EV charging stations (EVCS) in the country, particularly in the National Capital Region.
He said EV stakeholders have set a target to deploy an estimated 7,300 EVCS nationwide by 2028 and 20,400 by 2040. "This is our challenge. We continue to persuade and encourage the public and private sectors to work double time to speed up the growth of EVCS in the Philippines. It is just logical that as the number of EVs consistently jump every year, the figure for EVCS must match that spike so as to convince more Filipinos to switch to EV and realize the economic and environmental benefits of turning to electric mobility," he added.
Special Assistant to the President for Investments and Economic Affairs Frederick Go, during the event, said the government is committed to further bolstering the EV industry growth, noting the strong growth of EV sales because the units are "beautiful, save on fuel, need little maintenance, and are quiet." "I think those very simple answers tell you why the electric vehicle craze is picking up a lot of traction. For us in the government, the primary goal was to get people to start using electric vehicles to help the green economy move forward. But to us, in my office, more important than that is the next step, which is to try to bring electric vehicle manufacturing or electric vehicle assembly here in the Philippines," Go said.
He said they are currently in talks with an EV manufacturing firm that is "very serious about building electric vehicles in the Philippines." He, however, declined to elaborate. "And we are working with the Board of Investments to further encourage this process," Go added.
Amid the growth in several types of vehicles, overall growth in the first nine months this year declined by 0.3 percent on an annual basis, after total sales reached 343,410 units from last year's 344,307. In the previous month, motor vehicle sales rose 0.2 percent to 305,381 units.
As of September, heavy-duty trucks posted the biggest growth at 50.6 percent, followed by light commercial vehicles, 9.7 percent; light duty trucks and buses, 9.6 percent; commercial vehicles, 8.2 percent; and Asian utility vehicles and multi-purpose vehicles, 3.7 percent. On the other hand, sales of passenger cars declined by 23.6 percent, and medium-duty trucks and buses, by 11 percent.
In terms of EVs, total sales reached 20,662 units, led by hybrid electric vehicles, 16,335; battery electric vehicles, 3,657; and plug-in hybrid electric vehicles, 670. "The September results reflect the industry's adaptability and commitment to innovation," Chamber of Automotive Manufacturers of the Philippines, Inc. (CAMPI) president Rommel Gutierrez said in a statement. "As we continue to embrace electrification and expand commercial mobility solutions, we remain optimistic about closing the year on a high note."
Araga, during a press briefing Thursday, said growth of EV sales is boosted by the two- and three-wheeler units. He thus appealed to the Land Transportation Office (LTO) to reconsider its decision to suspend the registration of light electric vehicles (LEVs) like e-bikes and e-scooters.
"That's why I'm trying to appeal to LTO on administrative order 39-2021 to lift the suspension because it is not aligned with the query on the EVIDA law in terms of the categories," he said. LTO, in the said administrative order issued on May 11, 2021, said the suspension on the registration of LEVs was made after it noted that existing rules are "no longer applicable" since "electric vehicle technology has significantly advanced such that other types of electric vehicles are being manufactured and made available in the market."
"Whereas, in order to cope with advancements in electric vehicle technology, there is a need to consolidate and update the LTO's currency issuances and guidelines in recording, registration and operation of electric vehicles."
