The LTO will extend the validity of initial registration for brand-new cars and motorcycles from three years to five years starting February 15. Acting Transportation Secretary Giovanni Lopez said the move is meant to decongest LTO offices and make the registration process more convenient for the public. The new policy has already been approved by President Ferdinand Marcos Jr., with the Department of Transportation and LTO set to issue a department order and memorandum circular to formalize the change.
After the five-year initial validity, vehicle owners will have to renew their registration every year. A roadworthiness assessment at the LTO will be required starting on the vehicle’s fourth year to ensure it remains in good running condition as it ages. Lopez stressed that older vehicles naturally suffer from depreciation and wear and tear, making regular roadworthiness checks essential for safety.
Lopez noted that many dealers already offer extended warranties and other perks, prompting the government to “upgrade” its policies in parallel. He said he will ask members of the Chamber of Automotive Manufacturers of the Philippines Inc. (CAMPI) and other car and motorcycle dealers to shoulder the initial registration fees as an added benefit to buyers. Lopez estimates that around 80 to 90 percent of dealers already provide free registration as an incentive and wants this practice expanded to help motorists save on upfront costs.
Malacañang earlier said Lopez briefed the President in Malacañang on the policy’s benefits, including fewer registration transactions and reduced compliance burden for new vehicle owners. The move is part of the government’s drive to simplify processes and lessen the burden on motorists dealing with various regulatory requirements. Under Republic Act No. 4136 or the Land Transportation and Traffic Code, all motor vehicles must be registered before they can be used on public roads.
Motorists caught driving an unregistered vehicle face a fine of P10,000 under existing rules. Aside from the monetary penalty, the vehicle may also be impounded, adding towing, storage, and other costs to the owner. Authorities reiterated that keeping registration valid and updated remains compulsory despite the extended five-year grace period for brand-new units.
