Toyota sales, production fall on sharp declines in China, Middle East

Toyota Motor reported a decline in both global vehicle sales and production in July, primarily due to sharp declines in China, the United States, and the Middle East. Global sales fell by 4.8% year-over-year to 856,125 vehicles, while production dropped by 2.1%. The 24.3% plunge in China, marking the sixth consecutive month of decline, was a significant factor in the sales downturn.

This decline was driven by higher petrol prices, which negatively affected demand for hybrid and traditional combustion engine vehicles. In the United States, Toyota's largest market, sales slipped by 0.8%. Meanwhile, sales in the Middle East experienced a steep 44.5% decline, offsetting an 11.0% rise in Japan. Despite an 11.0% increase in Japan, production fell by 2.1% due to the declines in China and the United States.

Exports from Japan rose by 10.2% year-over-year to just over 196,000 vehicles, marking the highest level since October and the third consecutive month of increase. Toyota's figures include its luxury Lexus brand.