Toyota In Domestic Sales Slump
Toyota's enjoying record financial prosperity; year-on-year, the world's largest automobile manufucturer's Q2 operating profits rose 31.8 percent (675.43 billion yen vs. 512.42 billion yen). The lion's share of Toyota's success stems from strong U.S. sales of high margin models (Tundra and Lexus LS), bolstered by a weak yen. Meanwhile, back at home, bleh. ToMoCo's domestic sales slumped 10 percent, dropping 43k vehicles compared to last year. Speaking to the Japan Times, Yoshihiro Okumura, from Tokyo's Chiba-gin Asset Management Co. says the downturn reflects a shrinking domestic pie. "It's becoming more difficult to make a large profit in Japan, as the market is shrinking and people aren't buying cars." In an attempt to spur sales, Toyota has unleashed 11 new or redesigned cars in the past 16 months.
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