Toyota Global Sales Dipped in January, Even as Production Grew

Toyota Motor Corp. saw a slight drop in global sales in January due to lingering effects of the Covid-19 pandemic and a chronic shortage of semiconductors for automobiles, the Japanese automaker said.

(Bloomberg) — Toyota Motor Corp. saw a slight drop in global sales in January due to lingering effects of the Covid-19 pandemic and a chronic shortage of semiconductors for automobiles, the Japanese automaker said. 

Sales, including Daihatsu Motor Co. and Hino Motors Ltd., fell 3.6% from a year earlier to 795,847 vehicles, while production rose 8.4% to 819,727 units, the world’s No. 1 automaker said Monday. The shortages were worse a year ago, resulting in an output increase last month, Toyota added.

The numbers come about a month before Lexus chief Koji Sato is set to take over as Toyota’s chief executive officer in April, as production recovers from pandemic lockdowns, supply chain issues and a stubborn component shortage. Last week, the company announced its biggest wage hikes in two decades, meeting union demands quickly and in full for the third year in a row.

Domestic sales and production rose year-on-year for the third month in a row, with Japan sales climbing 18% to 186,998 units, Toyota said.

Toyota’s third-quarter profits surpassed estimates but the carmaker kept its conservative outlook for the fiscal year ending March in line with its previous forecast for operating profit of ¥2.4 trillion ($17.6 billion).

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