A JAPANESE truck dealer is upbeat on its second expansion in Cebu on the back of the robust construction demand governed by public and private activities.
Subic GS Auto Inc., an authorized dealer of Hino trucks in the Philippines, through the Hino Mandaue dealership opened yesterday a 5,000 square meter showroom and service center in Naga City.
“The economy is growing and so the volume of business is growing,” said Edward Tan, president of Hino Paranaque, a Hino dealership under Subic GS Auto.
In Cebu, Subic GS Auto runs the Hino Mandaue dealership that maintains a showroom along J. De Vera Street in Cebu City. Meanwhile, there is another Hino dealership in Cebu, identified as Hino Cebu, which is being run by the Pasajero group.
Tan identified construction and logistic companies as key markets for Hino trucks in Cebu.
The local dealership in Naga is also poised to sell 60 to 80 trucks within the year. Since Hino Mandaue first opened in the last quarter of 2016, it sold over 20 trucks to a publicly-listed retail company and a power distribution cooperative.
Having a service center in the southern part of metro Cebu would also support the sales growth targets of this Cebu dealership.
“Service center is very important (for the business to grow), that’s why we have to set up a service center as soon as possible,” the company official said.
Tan said they chose Naga City primarily because of the support of the local government, relatively affordable lot prices, and it being the industrial hub in the south of Cebu, as well as its proximity to Cebu City via the South Road Properties (SRP).
While most local companies make use of surplus trucks for their day-to-day operations, Tan reiterated that new ones are a practical choice as this ensures efficiency.
“Initial cost might be high but it’s more pracrical and highly efficient,” said Tan. (JOG)