Gov't finalizing P9-B incentives program for vehicle production

The government expects to complete a joint administrative order (JAO) for the implementation of the P9-billion incentives program for local vehicle manufacturing next month and open applications as early as April.

- LOUELLA DESIDERIO

A briefer from the Department of Trade and Industry (DTI) sent to reporters yesterday showed that instead of an executive order, a JAO is being crafted by the agency with the Department of Finance and Department of Budget and Management for the easier implementation of the Revitalizing the Automotive Industry for Competitiveness Enhancement (RACE) program.

“We’re expecting to complete the JAO by mid-March and open the application period for participants by April or May this year,” the Board of Investments (BOI) said.

A program briefer from BOI executive director Corazon Halili-Dichosa showed that the government would provide P9 billion in fiscal support for the program, which will cover the production of three models of four-wheeled internal combustion engine (ICE) vehicles.

Each participating car maker can get fiscal support worth up to P3 billion under the program for tooling and equipment needed for vehicle production.