Toyota Motor Corporation announced on Thursday (June 27th) that its global production has declined for the fourth consecutive month. According to the data released by the Japanese multinational automaker, Toyota produced 812,191 vehicles globally in May, a decrease of 4.1% compared to the same period last year. Toyota cited intense price competition with local Chinese brands as a factor contributing to the decrease.
Reporting from Kyodo News Agency, Toyota’s production in overseas markets excluding Japan dropped by 7% to 556,877 vehicles. Particularly concerning was the significant 21.7% decrease in production in China, with only 111,014 vehicles produced in May.
Apart from China, Toyota also experienced declines in production in markets such as Thailand, Mexico, and Brazil. Reduced working days in France led to a 5.3% decline in Europe. However, production in North America and Japan saw slight increases: North American production rose by 0.8% to 192,571 vehicles, while domestic production in Japan increased by 2.8% to 255,314 vehicles, thanks to more operational days at the factories compared to the previous year.
Global sales for the Japanese automaker in May rose by 0.3% to 840,681 vehicles. This growth was mainly driven by record overseas sales, with 738,610 vehicles sold internationally, marking an increase of 2.4%.
Toyota stated that strong sales of models like the Land Cruiser and Yaris Cross supported the growth in sales volume in overseas markets such as North America and Europe, offsetting the decline in sales in Japan and China. The company sold 140,400 new vehicles in China in May, a 13.6% decrease year-on-year.
The company also mentioned that production of the Toyota Prius hybrid car was temporarily halted in Japan due to recent recall issues, which impacted sales in Japan, resulting in a 12.7% decrease to 102,071 vehicles. However, the production suspension implemented since April was lifted in mid-June.
Toyota’s sales and production data include its luxury brand Lexus.