THE Chamber of Automotive Manufacturers of the Philippines, Inc. (CAMPI) said participants in the Comprehensive Automotive Resurgence Strategy (CARS) program should receive their incentives after having delivered results that have boosted the economy.
“Recent developments have raised serious concerns on the funding for the financial incentive commitments granted under the CARS Program,” CAMPI said in a statement on Thursday.
“The participants should be able to receive their incentives based on their actual performance that already generated economic benefits,” it added.
President Ferdinand R. Marcos, Jr. vetoed unprogrammed appropriations worth P92.5 billion on Monday, which included fiscal support for the CARS program worth P4.32 billion.
The vetoed CARS budget items were meant to fulfill government commitments under the program, including a still-being-evaluated application from one of the participants.
Mr. Marcos also vetoed P250,000 in funding for the Revitalizing the Automotive Industry for Competitiveness Enhancement (RACE) program.
According to CAMPI, the government should implement the RACE program soon.
“Both CARS and RACE are fundamental programs that contribute to overall industrial development. We fully trust and support efforts of key government agencies in urgently resolving these important matters,” it added.
Immediately after the veto, Trade Undersecretary and Board of Investments Managing Head Ceferino S. Rodolfo said that the agency is actively working with other government agencies to ensure payment of CARS participants.
“CAMPI believes in the importance of collaboration between government and industry in securing the future viability of the Philippine automotive manufacturing sector,” it said.
“Such is crucial in creating a positive environment for future investments and help develop a more robust local automotive parts manufacturing industry,” it added. — Justine Irish D. Tabile