[ Malaya.com.ph ] May 29, 2008
The Joint Foreign Chambers yesterday expressed alarm that imported used vehicles are unloaded in Cagayan port and sold by corporations registered in the Cagayan economic zone.
In a letter dated May 23, 2008 to finance secretary Margarito Teves, the JFC said the Bureau of Customs (BOC) should take immediate action to "suspend further imports and to prevent further sales of the vehicles of the eight firms" at the CEZ saying the importation is illegal and contrary to government policy,
The JFC said some 8,000 units have entered Port Irene since importation activities started within the zone by eight firms registered by the Cagayan Economic Zone Authority (CEZA).
"The volume of used cars imported is increasing, as is the number of firms selling these," the JFC said in the letter
Importers source used passenger cars from Japan, convert them and resell them.
The information was culled by JFC after a visit last May 12 of representatives of the Philippine automotive manufacturing sector at CEZ. There, officials of the CEZA, the local BOC and the Land Transportation Office met them.
JFC said that during the meeting, CEZA officials argued that the ban on importation of used vehicles does not cover Cagayan ecozone and Freeport.
It said that according to the CEZA officials, it is not clear in the October2007 final ruling of the Supreme Court upholding Executive Order 156 which implements the ban that it applies to areas other than the Subic Bay Freeport Zone.
CEZA filed a court case with Branch 8 of the regional trial court in Aparri, Cagayan arguing that EO 156 does not apply to the CEZ. Oral argumentation on the case is scheduled on May 27.
"Court cases can last many years in the Philippines, but violations of the law through the continued importation of used cars via Port Irene while the courts deliberate on the case should not be tolerated. We are of the opinion that these used vehicle importation and sales at the CEZ are illegal and contrary to the policy of President Macapagal-Arroyo contained in EO 156 and affirmed by the Supreme Court," the JFC said in the letter.
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