Expect pickup truck prices to increase very soon

Eyeing a pickup truck as your next daily, weekend, or business vehicle? Now is the time to buy one as prices are expected to increase very soon.

This is thanks to the Capital Markets Efficiency Promotions Act (CMEPA) which has been signed and passed into law as the Republic Act No. 12214 by President Ferdinand “Bongbong” Marcos Jr.

The CMEPA’s aims to simplify taxation of passive income, however, it also amended a handful of sections of the National Internal Revenue Code, including that of the exemption of double-cab pickup trucks from the Tax Reform for Acceleration and Inclusion (TRAIN Law).

Pickup trucks were exempted from excise taxes under the TRAIN Law as many of them are used for commercial purposes such as for the transportation of goods not only for large businesses but also small ones. However due to market trends, many are also now used as everyday personal vehicles, or even weekend lifestyle vehicles by enthusiasts.

Depending on a pickup truck model’s price, there are different taxation brackets and tax rates. Currently more affordable entry-level pickup trucks will only see small price increases, while those on the higher-end of the spectrum could receive large increases. If anything, we might see some go head-to-head with their SUV siblings in terms of prices.

As to when we can expect automakers to increase their double-cab pickup trucks’ prices, it’ll depend on who has the most and least number of units currently in their inventory. We can expect increases from individual brands once their current inventories are exhausted and new units are brought in.

_{Photo by Julian Panlilio and Sam Surla}