The Philippines is set to begin manufacturing hybrid vehicles through a landmark partnership with Mitsubishi Motors Corporation, positioning the country as a regional hub for green automotive technology, the Department of Finance (DOF) announced Monday.
MMC will establish a dedicated hybrid electric vehicle (HEV) production line at its Santa Rosa, Laguna plant, confirmed MMC President and CEO Takao Kato during a meeting with President Ferdinand Marcos Jr. at Malacañang Palace.
Finance Secretary Frederick Go described the project as a pivotal moment for the domestic economy.
“This is a landmark investment that will redefine the future of our automotive industry. And the even more exciting possibility is that we could be an exporter of hybrid cars,” Go said.
The initiative aligns with the Electric Vehicle Industry Development Act (EVIDA), which seeks to reduce dependence on imported oil and lower urban emissions. Manila is finalizing fiscal incentives to attract further investment as battery costs decline and renewable energy capacity expands.
Officials highlighted that localizing advanced manufacturing will generate jobs and protect the economy from global market volatility. Beyond domestic sales, MMC is also studying the feasibility of exporting Laguna-made hybrids to regional markets.
The Board of Investments of the Philippines is expected to submit a final package of industry incentives for presidential approval soon, strengthening the country’s competitive edge in the emerging electric vehicle sector.