Toyota’s sales and production plateaued last month, buoyed by a slight rebound abroad after a prolonged slump in Japan.
Global sales, including that of subsidiaries Daihatsu and Hino, rose 0.4 per cent in October compared with last year to 974,245 units – the first uptick in three months and a record for October.
Production fell 1.3 per cent to 1.02 million units, the company said Thursday.
The world’s biggest carmaker has seen sales and output fall throughout the year as Japanese carmakers struggle to compete in China, where local brands are flooding the market with battery-based electric vehicles.
Toyota’s domestic sales have fallen more than 20 per cent between January and October, while production fell 13 per cent.
While sales have risen 5.5 per cent in North America so far this year, that growth has been offset by a 9 per cent decline in China.
Toyota kept its 4.3 trillion yen (€26.9 billion) annual profit outlook intact when it announced second-quarter earnings in early November, despite the weak performance in Japan and China.
The Japanese automaker’s global car sales have taken a hit due to weak demand for new cars, while output cuts were caused by regulatory probes and recalls at home and abroad. Toyota’s sales in Japan fell this year due to domestic recalls of the Prius.
Production in China declined as it struggled to keep up with BYD and other local players.
Honda’s global production in October fell 16 per cent to 340,777 units, including a 46 per cent drop in China. Sales fell 16.7 per cent last month to 309,807 units.
Nissan saw monthly output drop 6.3 per cent to 290,848 units. October production fell 15 per cent in both the US and China.
Last month, Nissan announced plans to cut 9,000 jobs and reduce manufacturing capacity by 20 per cent after lowering its annual profit outlook by 70 per cent. Chief Executive Officer Makoto Uchida cited weak sales in the US and China as the primary cause of its rapid decline. – Bloomberg
