Ayala to offer 6 Volkswagen models by end-2013

MANILA, Philippines – A unit of the Ayala business group is set to open its first Volkswagen dealership this 2013, initially rolling out 6 models.

“We’re rolling out 6 models by the end of this year. We’re looking at the Polo, Golf, Beetle, Touareg, Touran, and Tiguan,” John Philip S. Orbeta, Ayala Automotive Holdings Corp. chairman and president, said in a press briefing following conglomerate Ayala Corp.’s annual stockholders’ meeting on Friday, April 19.

Orbeta said the target is to open the first dealership in the 4th quarter that will be located in Bonifacio Global City, Taguig City.

“We are targeting to have two more dealerships by next year so that would bring us to 3. We hope that would start making an impact on our auto-busines,” Orbeta added.

The price tags and where the units of the German carmaker will be sourced are two issues Ayala and Volkswagen are still sorting out.

“One of the things we’re still working on is price points and sourcing of cars. They have plans in Asia but the supply has been taken up by largely by China. We are looking where our cars are coming from and that will affect the price. They are looking at their ASEAN strategy as well. They’re really exploring where it would make sense to put up the factory,” he explained.

Exclusive deal

Europe’s largest carmaker, Volkswagen AG, chose the Ayala group as its exclusive distributor of passenger vehicles in the Philippines in October 2012

Leaders of both business groups met recently in Davos, Switzerland during the Wold Economic Forum in January. 

The German carmaker is keen to reestablish their operations in the Philippines. Volkswagen closed its Philippine operations about a decade ago. 

The Volkswagen Group is the world’s second largest automobile manufacturer as of 2011, with global sales of 8.265 million units accounting for a 12.3% share of the passenger car market. 

The Ayala unit has interests in Honda Cars Philippines, the second-biggest auto assembler in the Philippines by overall sales, and in Isuzu Philippines Corporation, a leading distributor of cars, trucks, and engines. – with reports from Aya Lowe/Rappler.com