AC Motors Automotive Group, a wholly-owned subsidiary of Ayala Group, plans to expand its annual revenue to P50 billion by 2025, with a net revenue projection of P1.3 billion, as it aims to become a pioneer in energy vehicles in the Philippines.
AC Motors chief executive Arthur Tan said the company continued to pursue its goal of becoming the “preeminent auto group” in the Philippines.
“This is because we were able to prove that we can produce a 2-wheeled vehicle here in the Philippines and export it to China competitively. The largest export of our factory right now is about 70 percent, and the majority of those products that we actually produce here is exported and sold in China, on a competitive basis,” Tan said Wednesday in a forum on future mobility organized by the Liveable Cities Challenge PH.
The automotive firm aims to capture 10 percent of the market for the five automotive brands it exclusively distributes in the Philippines in the next five years. AC Motors owns the dealership for Honda, Isuzu, Kia, Volkswagen, and German-made Maxus.
It plans to sustainably recover from slow sales after the entire Philippine automotive industry sustained massive losses in 2020 amid the health crisis.
Integrating core operations helped the company move quickly from manufacturing to distributorship, retail, and after-sales service, Tan said.
He said the company was leaning more on developing alternative mobility technologies that would spare the environment.
“This initiative resonates even further not only because of the effects of climate change to people and businesses but the pandemic has also changed how people move about,” Tan said.
“The acceleration of this is actually happening due to the pandemic, because of the mobility of the entire world, how they look at mass transfers and personal mobility,” he said.
More than 50 percent of the electric vehicles produced globally in 2020 were gobbled by China. AC Motors intends to supply China with bigger versions of electric vehicles while it continues to bring to China 70 percent of its motorcycle production.
AC Motors in partnership with KTM AG exported 30,000 units of motorcycles to China through joint venture company KTM Asia Motorcycle Manufacturing Inc.
