Toyota Motor Corp is aiming to halve the number of car models it sells at home by 2025, a person briefed on the matter said – the second time this month that a Japanese automaker has emerged with plans to sharply scale back in a shrinking domestic market.
Car sales in Japan have been on a declining trend for more than two decades as the population rapidly ages and young people are losing interest in car ownership.
At the same time, global automakers are increasingly focusing their R&D efforts on electric cars and self-driving technologies.
Toyota offers about 60 car models in Japan, where consumers clamour for variety.
But it aims to gradually cut that to about 30 by 2025 to make better use of resources, the person said, declining to be identified as he was not authorised to speak on the matter. But even halved, the new domestic model portfolio would still beat the 25 models available in North America, Toyota’s biggest market. The plan comes on the heels of Honda Motor Co Ltd’s announcement last week that it aims to end production at a domestic factory by 2022, cutting output in Japan by 24% to focus on electric cars and other technologies.
Toyota spokeswoman Akiko Kita declined to comment on product plans but said the company was pursuing a number of strategies to maintain sales of at least 1.5mn Toyota-branded vehicles annually in Japan. It currently sells around 1.6mn a year.
The domestic line-up for Japan’s No 1 automaker includes the popular Prius gasoline hybrid and the Aqua compact hatchback, versions of which are also available overseas.
It also sells lower-volume models, including the Premio sedan, that are often derivatives of other models.
Models pose with Toyota’s redesigned “Vitz” compact cars at an unveiling in Yokohama, south of Tokyo (file). Toyota offers about 60 car models in Japan, where consumers clamour for variety. But it aims to gradually cut that to about 30 by 2025 to make better use of resources, sources said.
LEAVE A COMMENT Your email address will not be published. Required fields are marked*
Gas fracking to start in England again next week after 7-year halt
India is said to keep buying Iranian oil despite US sanctions
India’s central bank leaves key lending rate unchanged
Unilever drops Dutch HQ move after British investors rebel
World Bank to help Pakistan textile mills conserve energy
China’s new bank loans seen rising in September
European stocks extend their downturn after US jobs data
Startup nation? Entrepreneurs still toil in Macron’s France
Tesla’s Musk mocks SEC as judge demands they justify fraud settlement