June 28, 2024 –Despite facing challenges in key markets, Toyota Motor Corporation has announced a modest increase in global sales for the month of May. The Japanese automaker, including its Lexus brand, sold 840,000 vehicles worldwide, marking a slight year-on-year rise.
Among these, overseas sales accounted for a significant portion, reaching 738,610 units, representing a 2% growth and setting a new three-year high for Toyota’s international sales. This growth was primarily driven by robust demand for hybrid models such as the new Camry in North America, where sales surged 15%. Additionally, sales of the electric vehicle bZ4X also saw a significant increase.
However, the overseas success was not replicated in China, where Toyota’s popularity appears to be waning. Sales in the Chinese market declined by 14% in May, despite the company’s efforts to boost incentives for trade-in deals and reduce prices. This drop highlights the growing competition from domestic new energy vehicle manufacturers.
Similarly, Toyota’s domestic sales in Japan also took a hit, falling 13% to 102,071 units. The halt in deliveries of the Prius, a popular hybrid model, contributed significantly to this decline.
Furthermore, earlier this month, Toyota was hit with a scandal involving falsified safety test data. The company was found to have submitted incorrect data for pedestrian safety tests on three current models and used modified test vehicles for collision tests on four older models. This revelation affected seven Toyota models and led to the suspension of production for three models, including the “YARIS Cross,” until the end of July. This is expected to further impact Toyota’s production and sales in Japan in the coming months.
Despite these challenges, Toyota remains a global leader in the automotive industry, with a diverse product line and a strong presence in various markets. The company will likely continue to adapt its strategies to address changing market conditions and consumer preferences.
