Toyota Sales Stay Growing Amid Global Production That Drops 10 Months In A Row
JAKARTA - The world's largest automaker, Toyota reported experiencing a decline in production in November or down for 10 consecutive months, but Toyota has recorded an increase in global sales for the second month in a row. This surge was supported by high demand in key markets such as the United States and China.
Launching Reuters on Thursday, December 26, in November, Toyota produced 869,230 vehicles globally, down 6.2 percent compared to the same period last year. This figure is larger than the 0.8 percent decline in October.
In the United States, production has fallen 11.8 percent. Production recovery has been slow, although the Grand Highlander and Lexus TX SUV models have been produced again since late October after being suspended for four months.
Meanwhile, in China, production only fell 1.6 percent better than the 9 percent decline in the previous month. The high sales of local models such as the Granvia minivan, Sienna, and the bZ3 electric sedan developed with BYD are driving factors.
Facing competition from BYD and other Chinese local brands, Toyota plans to build an independent plant in Shanghai. The plant is scheduled to start production of electric cars for the Lexus brand by 2027, the Nikkei newspaper reported.
In Japan, which accounts for about a third of global production, Toyota production fell 9.3 percent in November. The decline was partly due to a two-day operational shutdown at the Fujimatsu and Yoshiwara factories.
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Despite declining production, Toyota's global sales set a new record for November, up 1.7 percent to 920,569 vehicles.
Cumulatively, the January to November period showed Toyota's global production fell 5.2 percent compared to the same period last year, to around 8.75 million vehicles. Meanwhile, global sales fell 1.2 percent. This data includes vehicles from the Lexus brand, but does not include vehicles from Hino and Daihatsu groups.
Toyota faces tough challenges on the production side, but still manages to maintain the attractiveness of its products in the global market, especially in strategic segments such as electric vehicles and luxury SUVs.