TMP says fiscal incentives sustain growth of local automotive industry

Toyota Motor Philippines Corporation (TMP) credited fiscal incentives and supportive government policies for helping local manufacturers stay competitive and sustain growth in the automotive industry.

In a statement sent to the media, TMP said it measures government initiatives by their impact on strengthening local manufacturing and the parts supply chain. 

“Fiscal incentives on investments in local capabilities, as well as supportive policies like local products promotion, are helpful in keeping our production cost competitive while also boosting domestic demand for higher economies of scale,” the company said.

Enterprises operating in zones registered under the Philippine Economic Zone Authority (PEZA) enjoy incentives under Executive Order 226, including income tax holidays, tax and duty-free importation of equipment and raw materials, and tax credits. TMP administers the 82-hectare Toyota Special Economic Zone in Santa Rosa, Laguna.

In the first half of 2025, TMP posted a 66 percent jump in net income to ₱12.5 billion, driven by strong retail sales, a favorable product mix, and positive foreign exchange movements. Last year, it recorded ₱15.9 billion in net income and paid ₱1.16 billion in taxes and fees, making it one of Santa Rosa’s top taxpayers.

TMP said it currently maintains over 4,000 employees and is not expanding its workforce for now as it operates at “maintenance level.”