Toyota hits record sales globally but faces sharp decline in Japan: Report

Share via: Toyota, along with group companies Daihatsu and Hino, reported sales of 900,598 vehicles worldwide in August, just over 1 per cent higher than a year ago. …Read More Toyota, along with group companies Daihatsu and Hino, reported sales of 900,598 vehicles worldwide in August, just over 1 per cent higher than a year ago. View Personalised Offers on Check Offers For much of this year, Toyota had been cruising at record pace, delivering month after month of strong sales and production numbers. But in August, the momentum wavered. The world’s largest carmaker, known for its steady hand in turbulent times, found itself grappling with a sharp dip in its home market. Toyota, along with group companies Daihatsu and Hino, reported sales of 900,598 vehicles worldwide in August, just over 1 per cent higher than a year ago. Beneath the headline, however, the picture was uneven. Sales globally climbed nearly 4 per cent to a record monthly high, while demand in Japan slumped by more than 10 per cent. Production mirrored the global trend, up almost 4 per cent to 837,869 units. But the softness at home raises questions about whether Japan, traditionally a reliable market for Toyota, is beginning to show the strain of shifting consumer choices and a sluggish economy. Also Read : Toyota Hyryder Aero Edition teased ahead of launch this festive season US demand cushions the blowAcross the Pacific, Toyota found firmer ground. Sales of Toyota and Lexus models rose nearly 14 per cent in the United States during August, helped by sustained appetite for hybrids. Battery-electric vehicles also gained ground, up 35 per cent worldwide to more than 17,000 units. Yet Japan stood out for the wrong reasons, only 18 fully electric Toyotas were sold in the country, underlining just how slowly the domestic EV market is moving compared to global peers. China, another key market, offered steadier numbers. While growth there has become harder to secure for many global brands, Toyota’s broad hybrid line-up continues to give it a foothold. Tariffs weigh on the bottom lineThe operational numbers are only part of the story. Trade politics have started to take a financial toll. The 15 per cent tariff imposed by the US on imported cars and parts has forced Toyota to scale back its profit forecast for the year. The company now expects operating income of Yen 3.2 trillion for the fiscal year ending March 2026, down from its earlier Yen 3.8 trillion projection. That translates to a potential Yen 1.4 trillion ($9.5 billion) blow. Also Read : Maruti Suzuki Invicto vs Toyota Innova Hycross: Which MPV provides better safety Toyota’s latest update highlights a delicate phase. Overseas demand is still carrying the company, but the slump in Japan points to deeper shifts in how, and what, people are buying. The home market’s indifference to fully electric cars contrasts sharply with the global uptick, suggesting that Toyota must balance different paces of transition across regions. Get insights into Upcoming Cars In India, Electric Vehicles, Upcoming Bikes in India and cutting-edge technology transforming the automotive landscape. First Published Date: 29 Sept 2025, 11:49 am IST
Source: hindustantimes.com