New Vehicle Sales in the Philippines Declined by 8% to 37,231 Units in June 2026
In June 2026, new vehicle sales in the Philippines dropped by 8% year-on-year to 37,231 units from 40,483 units recorded during the same period last year. This decline marks the sixth consecutive month of falling sales as economic growth slows and inflation rises due to higher fuel prices linked to Middle East conflicts. The Philippine GDP grew at a slower pace in Q1 2026 (2.8% YoY) compared to previous quarters, while household consumption dropped sharply amid rising living costs. Despite this, the central bank increased its benchmark interest rate by 50 basis points since April to manage inflationary pressures. In H1 2026, total vehicle sales fell over 11%, with passenger car and commercial vehicle segments both declining more than 11%. However, electrified vehicles saw a significant surge of 132% as consumers shifted toward fuel-efficient options.