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GAC Motor PH to increase vehicle prices due to DTI Safeguard Act

Drive

GAC Motor PH to increase vehicle prices due to DTI Safeguard Act

By Inigo Roces

Legado Motors, Inc., the official distributor of GAC Motor cars in the Philippines, announced that it will be increasing the prices of its whole vehicle line-up effective March 1.

The price increase is being implemented after the Bureau of Customs (BoC) released a Customs Memorandum Order stating the directive of the Department of Trade and Industry (DTI) to add a tariff rate on imported vehicles.

Starting March 1, Legado Motors, Inc. will set a Php 78,000 price increase to its current vehicle line-up, composed of the GA4, GS3, GS4, GN8, and the GS8.

With barely a month left before the implementation of the price increase, customers may still avail of the vehicle models at their current prices.

Last month, the DTI released the Republic Act No. 8800 or the Safeguard Measures Act that imposes an additional tax on imported vehicles. The said act is “set to provide protection on domestic industries and producers from imported goods, which threatens to cause serious damages on domestic industries and producers.”

The act of Safeguard Tax on imported vehicles was a response to the petition filed by the Philippine Metalworkers’ Alliance (PMA) that seeks to protect the operations of the local vehicle assembly.

Despite the situation, Legado Motors, Inc., remains optimistic that the sales volume will continue to increase and will help the automotive industry bounce back from the great impact of the pandemic.

“We are in the high hopes that the local market will still continue to patronize the brand despite the higher prices implemented by the policy,” said Wilbert Lim, president and CEO of Legado Motors, Inc.

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