Philippine hybrid manufacturing won’t hit the road until 2028

Mitsubishi’s Santa Rosa project remains in “park” as the industry awaits the finalization of the Electric Vehicle Incentives Strategy (EVIS)..

As fuel price volatility continues to strain households and industries, the push to localize hybrid electric vehicle (HEV) production is gaining urgency, aiming to reduce dependence on imported oil and strengthen the country’s buffer against price shocks.

But hybrid vehicle production in the Philippines may not begin until as late as mid-2028, even as Mitsubishi Motors Corp. prepares to assemble the units at its plant in Santa Rosa, Laguna. The timeline depends on the company’s pending application to join the government’s Electric Vehicle Incentives Strategy (EVIS) program.

Because of this delay, the initiative arrives years after neighboring countries have already moved further ahead with their own electrification programs. While the Electric Vehicle Industry Development Act laid the groundwork, its key support mechanism, the EVIS, is still being finalized, slowing the rollout of broader electrification efforts.

The hybrid middle ground

In the meantime, HEVs are seen as an intermediate transition option, despite being considered less aligned with stricter global electrification standards. Unlike full battery electric vehicles, HEVs combine a conventional gasoline or diesel engine with an electric motor and a battery pack to improve fuel efficiency and reduce emissions.

The uncertainty is compounded by setbacks in earlier automotive programs, such as the Comprehensive Automotive Resurgence Strategy (CARS) and the Revitalizing the Automotive Industry for Competitiveness Enhancement (RACE).

Both programs faced fiscal challenges after the government vetoed incentives in the 2026 national budget. Industry observers warn this could dampen investor confidence and slow the momentum needed to build a more competitive electric vehicle ecosystem.

 

 

Philippine-made hybrid vehicles are unlikely to hit the road until mid-2028 as Mitsubishi Motors awaits the finalization of the government’s Electric Vehicle Incentives Strategy (EVIS).

 

 

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