– Responding to Future Market Expansion –
IWATA, May 24, 2019—Yamaha Motor Co., Ltd. (Tokyo: 7272) announced today plans to increase the production capacity of motorcycles at Yamaha Motor Philippines, Inc. (YMPH) who manufactures and sells motorcycles based within the Lima Technology Center in the Province of Batangas.
Under this plan, a new plant will be built on the same site, with the annual production capacity to be raised from the current 400,000 to 800,000 units. In addition, as a med-to-long term goal, the company aims to sell 1 million units in the Philippines (including imported completed units).
The new plant will begin construction in May 2019 and is scheduled to start operation in July 2020.
Total motorcycle demand in the Philippines in 2018 was approximately 2.26 million units*, an increase of 14% over the previous year, and demand is expected to continue to grow further in the future.
Yamaha Motor first entered the Philippines in 1962, starting with motorcycle sales. In 2007, the company established the wholly owned subsidiary YMPH, and started manufacturing motorcycles building a system that can respond quickly to market changes. Sales volumes have grown to approx. 540,000 in 2018, compared with about 70,000 in 2008.
In addition, in the New medium-term management plan announced in December last year, Yamaha Motor will continue to position the ASEAN market as one of its key markets, and work to further strengthen its earnings base there. The expansion of motorcycle production capacity in the Philippines is also part of this initiative.
*Yamaha Motor survey