Mazda CX-5 ready for export to the Philippines

KUALA LUMPUR: Last year, Mazda Malaysia confirmed that it will be exporting the Mazda CX-5 to the Philippines and now, it is all set to deliver the first set of the crossover. This was confirmed by the roll-off ceremony organized by the Bermaz Motor Sdn. Bhd, the Malaysian corporation responsible for Mazda’s operations in Malaysia and the Philippines.

Mr. Hiroshi Inoue, Mazda Motor Corporation’s Managing Executive Officer said, “ The customers who have supported us in our journey so far have higher expectations from the brand’s CX-5. With the help of our partners, Mazda must exceed these expectations and the initialization of the production of next-generation CX-5 here at Mazda Kulim Plant is the first step towards it.”

The assembly of the all-new CX-5 is carried out in the INOKOM factory in Kulim, Penang from completely knocked down (CKD) kits from Japan. The same plant was involved in the assembly of previous generation CX-5. As Malaysian law makes it difficult for the manufacturers to import fully-assembled, completely built up (CBU) units, local assembly plants are the only options that sound feasible for the automakers. This time, the Mazda CX-5 will be exported to a number of markets which include Thailand, Indonesia, and the Philippines.

Further providing an aid to INOKOM factory is the Hiroshima plant of the company in Japan that will help in improving the production capacity of the CX-5 and serve a number of other markets to meet the demand in an effective manner. According to the Japan Philippines Economic Partnership Agreement (JPEPA), the engine of CX-5 does not qualify for the virtually tariff-free provisions and this makes importing the crossover from Malaysia more feasible as it would qualify under the stipulations of the ASEAN Free Trade Area.

It will also give Mazda Philippines a flexibility to streamline the process before the tax reform is finalized for the vehicles that are imported.