DTI Defends Prioritizing Four-Wheelers in EV Incentives, Two-Wheeler Industry Expresses Concern

MANILA, Philippines — The Department of Trade and Industry (DTI) remains open to incentives for electric motorcycle and tricycle manufacturers but is currently prioritizing four-wheelers to prevent investment redundancy. This follows criticism from the Electric Vehicle Association of the Philippines (EVAP) of the Electric Vehicle Incentive Strategy (EVIS), the P60-billion incentive scheme currently focused on manufacturers that produce four-wheel vehicles. According to DTI officials, the EVIS is strategically designed to concentrate on four-wheel EV manufacturers at this stage to avoid "investment redundancy." The department indicated that incentives for the electric motorcycle sector could be considered in the future, depending on market maturity and demand trends. EVAP has expressed concern over the DTI's current focus, arguing that electric motorcycles and tricycles play a crucial role in promoting accessible and affordable electric mobility for a wider segment of the Philippine population. The association advocates for expanding the EVIS to include two- and three-wheeler EV manufacturers, believing it would facilitate broader adoption of electric vehicles. In recent years, the Philippines has seen growing interest in EVs, driven by increasing environmental awareness and rising fuel prices. Electric mobility is seen as a potential solution for traffic congestion and air pollution, particularly in urban areas. However, challenges such as underdeveloped charging infrastructure and high vehicle costs remain significant barriers to widespread adoption. The DTI's current policy appears to be rooted in economic rationality, aiming to prioritize investments in areas deemed most effective within a limited budget. Conversely, EVAP's concerns highlight the social implications for citizens, particularly regarding access to electric mobility for lower-income groups. Future policy decisions by the DTI will likely need to balance economic efficiency with social inclusivity.