Toyota Sees Worldwide Sales Decline Especially In Japan And China

Global sales fell by 4.7 percent compared to a year earlier, to 5.2 million vehicles. On the domestic market, sales fell by more than 22 percent, in China, sales fell by almost 11 percent. On the other hand, Toyota sold 473,000 hybrids in North America. That was more than 57 percent more than in the same period last year. In Europe, things also went incredibly well, as was previously announced.

Toyota’s global sales decline is likely partly due to recent recalls of the Prius and other models. Toyota is also facing stiff competition from the Chinese electric car maker, BYD. Toyota has also been the subject of several scandals recently. Toyota subsidiary Daihatsu reported in December that it had manipulated safety tests for years, since at least 1989. As a result, production was halted and Toyota had to lower its production targets.

In June, it became apparent that things were also wrong within the Toyota brand itself. Toyota temporarily stopped delivering several car models in Japan, because incorrect data had been reported for years based on pedestrian and occupant protection tests.

Akio Toyoda is under pressure

The situation has also caused unrest at the top of the Japanese car company. Chairman Akio Toyoda saw his support slide to its lowest level ever at the annual shareholders meeting last month. Several activist investors expressed their concerns about his leadership at the meeting.

Toyoda has also been criticized for not making a clear commitment to making bold moves in electric cars, which has left the company behind BYD and Tesla. In a podcast interview published on Toyota’s website this week, Toyoda said he won’t seek re-election to the board next year if his support continues to decline. “No board member in Toyota’s history has seen their support drop this low,” Toyoda said.

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