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Japanese Car Makers’ Downward Spiral: Production Falls for 7th Straight Month

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Last month, the global production volume of eight Japanese automakers was recorded at 2,089,896 units, down 11% from the previous year’s period. This is the seventh consecutive month of decline, and all seven companies except Suzuki showed negative performance.

Toyota recorded 869,230 units, down 6% year-on-year, continuing its 10th consecutive month of decline; Honda recorded 329,987 units, down 20%, and Nissan recorded 271,980 units, down 14%. Honda and Nissan could not avoid a slump, recording negative performance for the fourth and sixth consecutive months, respectively.

Toyota’s production rose 7% in China, but Honda’s fell 38% to 83,840 units, and Nissan’s fell 26% to 64,990 units. As new energy vehicles gain market share in China, Japanese automakers focusing on conventional internal combustion engine vehicles are struggling.

The slump continued in production in Japan. Eight companies’ production volume decreased by 14% to 704,886 units, falling for the fourth consecutive month compared to the same period last year. Daihatsu Motors recorded the largest decline, a 40% decrease to 50,559 units.

Meanwhile, looking at sales by region, Honda’s sales in Japan fell 16% to 63,850 units, while Nissan’s US sales were down 31% to 33,212 units. Nissan’s sales declined even more pronounced as new vehicle launches were delayed.

Meanwhile, Honda and Nissan recently announced that they agreed to begin discussing a business integration. This is noteworthy as both companies aim to strengthen their competitiveness in the global market.

globalautonews
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