The Bleeding Continues: Toyota China Sales Down 44 Percent In October

Bertel Schmitt
by Bertel Schmitt
the bleeding continues toyota china sales down 44 percent in october

Toyota’s China sales dropped 44.1 percent year-on-year to about 45,600 units in October, The Nikkei [sub] says. Toyota confirmed the number. A territorial dispute over uninhabited rocks in the East China Sea triggered a massive boycotts of Japanese goods, especially of high-profile cars. In September, Toyota’s China sales were down 40 percent in September.

Last month, dealerships of Japanese cars were torched, Japanese cars were overturned and drivers beaten. The demonstrations have since stopped. Now, it’s no longer the loss of the car that worries Chinese, but the loss of face. Which possibly is more powerful in the long-term.

“I am supposed to impress people with my car,” says a friend in China. “I don’t want to apologize for it.” The friend expressed intentions to trade the current Corolla to “something from Volkswagen.”

All Japanese carmakers are hit by the boycott, and similar sales reductions are expected from Toyota’s peers. Among Japanese carmakers, Nissan has the highest exposure to the Chinese market. In 2011, Nissan sold 883,000 vehicles in China, some 27 percent Nissan’s global sales. For Honda, that ratio was about 20 percent, or Mazda, some 18 percent. Toyota’s China sales accounted for approximately 12 percent of its global sales in 2011. This year, the ratios were a bit lower when budgeted, and most likely will sink further.

The row is expected to have a bigger effect on company earnings. Sales in China are known to be quite profitable.

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  • Richarbl Richarbl on Nov 01, 2012

    Just think. In twenty years time... when the smoke stops rising.... we can say that we pinpointed the exact moment that triggered WW3.

  • Volt 230 Volt 230 on Nov 01, 2012

    These "demonstrations" are all staged by the govt. they would not allow this to happen otherwise, we're not talking about a free society here, folks. It's all a show for the world to see.

  • Wjtinfwb Over the years I've owned 3, one LH (a Concorde) a Gen 1 300 and a Gen 2 300C "John Varvatos". The Concorde was a very nice car for the time with immense room inside and decent power from the DOHC 3.5L. But quality was awful, it spent more time in the shop than the driveway. It gave way to a Gen 1 300, OK but the V6 was underwhelming in this car compared to the Concorde but did it's job. The Gen 1's letdown was the awful interior with acres of plastic, leather that did it's best imitation of vinyl and a featureless dashboard that looked lifted from a cheaper car. My last one was a '14 300C John Varvatos with the Pentastar. Great car, sufficient power and exceptional highway mileage. The interior was much better than the original as well. It was felled by a defective instrument cluster that took over 90 days to fix and was ultimately lemon law' d back to FCA. I'd love one of the 392 powered final edition 300s but understand they're already sold out and if I had an extra 60k available, would likely choose a CPO BMW 540i for comparable money.
  • Dukeisduke Thanks Cary. Folks need to make sure they buy the correct antifreeze, since there are some many OEM-specific ones out there (Dex-Cool, Ford gold, Toyota red and pink, etc.).And sorry to hear about your family situation - my wife and I have been dealing with her 88-yo mom, moving her into independent senior living, selling her house, etc. It's a lot to deal with.
  • FreedMike Always lusted after that first-gen 300 - particularly the "Heritage Edition," which had special 300 badging and a translucent plastic steering wheel (ala the '50s and '60s "letter cars").
  • Dave M. Although the effective takeover by Daimler is pooped upon, this is one they got right. I wasn't a fan of the LHs, mostly due to reported mechanical, NVH and build quality issues, but I though Chrysler hit it out of the park with the LXs. The other hyped release that year was the Ford Five Hundred, which, while a well-built car with superior interior space, couldn't hold a candle to the 300.
  • Art Vandelay I always liked those last FWD 300's. Been ages since I've seen one on the road though. Lots of time in the RWD ones as rentals. No complaints whatsoever.
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