Toyota raises global sales forecast to 8.58 million units this year

Article by Christian A., on January 25, 2012

Toyota Motor Corp. increased its worldwide sales estimate due to the Japanese government incentives on fuel-efficient automobiles and the demand for its Prius compact gasoline-electric hybrid vehicle. Sales are expected to increase by 21% to 8.58 million units this year, according to Toyota. This is 100,000 vehicles more than the automaker's estimate in December.

The sales projection excludes those of subsidiaries Hino Motors Ltd. and Daihatsu Motor Co. Last year, Volkswagen AG and General Motors Co. outsold Toyota, which lost some of its market share due to the natural disasters in Thailand and Japan that hampered production.

Toyota is betting on government incentives and the latest Prius hybrid to help it regain its share of the market. The recovery will aid the vehicle manufacturer, which produces the Camry sedan, to increase profits by 100% next fiscal year after output deficits lead to a drop in earnings in the year ending March, according to analysts’ estimates.

Auto analyst Satoru Takada at Tokyo-based research firm Toward The Infinite World Inc. commented that the incentives in the domestic market will "definitely" give Toyota "an advantage over GM and VW." He added that the sales of Toyota will bounce back in all of its markets. Toyota continues to face the strength of the yen, which has appreciated more against the dollar compared to any other major currency in the past half year, emphasizing the value of Japanese exports.

The automaker is also facing a healthier GM, which was the largest automaker in the world in 2011 -- two years after exiting a U.S. government-backed bankruptcy. It also has to contend with the increasing popularity of Hyundai Motor Co.'s vehicles all over the world.

 Combined with the production disruptions due to the March 11 earthquake and tsunami, the strengthening yen led to Japan's first yearly trade gap since 1980, according to government data recently released.

In order to protect a domestic industry suffering under the yen's appreciation and natural disasters, the government in Japan started waiving some taxes last month as well as offering rebates for certified low-emission vehicles, allotting 300 billion yen or $3.8 billion in the fiscal budget. [source: Autonews]

Topics: toyota, sales

If you liked the article, share on:

Comments

Recommended

The Insurance Institute for Highway Safety (IIHS) has given its Top Safety Pick+ award to the redesigned version of the 2017 Kia Cadenza. This was a result of excellent a...
by - April 29, 2017
It’s pretty neat if you possess something of an extraordinary breed like, say, the Pagani Huayra. There are after all just a total of 100 units ever been built by...
by - April 28, 2017
If you’ve ever visited an arcade, chances are you have already seen a Logitech G920 wheel. If that doesn’t ring a bell, it’s the steering wheel that you use when...
by - April 28, 2017
Toyota Motor Corporation disclosed that it will be bringing two of its Mirai fuel cell vehicles to China by October of this year. Tests will then be conducted on these...
by - April 28, 2017
Jaguar fans, as well as auto enthusiasts in general, has a reason to celebrate this week as the brand gave everyone a peek of the new 2018 XF Sportbrake. This...
by - April 28, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries