Toyota logs record FY2025 sales as hybrids offset tariff strain
Strong North American demand for hybrids lifted Toyota to record global sales, though March weakness and Middle East shipping risks cloud the outlook.
- Toyota achieved a record high in global vehicle sales for fiscal year 2025, with a 2.0% increase to 10,477,325 units.
- The sales record was driven by the strong popularity of its hybrid vehicles, especially in the North American market where sales jumped 7.2%.
- This growth successfully offset the negative impact of higher tariffs imposed by the United States.
- The increase was fueled by overseas sales, which grew 2.7%, while domestic sales in Japan declined by 2.0%.
Toyota Motor Corp. said Monday (April 27) that its parent-only global vehicle sales reached a record high in fiscal 2025, thanks to the popularity of its hybrid vehicles, especially in the North American market, despite higher tariffs imposed by the administration of US President Donald Trump.
Toyota's global sales grew 2.0 per cent from the previous year to 10,477,325 units, up for the first time in two years.
Of the total, overseas sales increased 2.7 per cent to 9,002,666 units, with North American sales jumping 7.2 per cent.
Domestic sales fell 2.0 per cent to 1,474,659 units, for the second consecutive year of decline.
In March alone, the leading Japanese automaker saw its global sales drop 7.3 per cent, as it reduced production amid heightened tensions in the Middle East, including the de facto blockade of the Strait of Hormuz.
Sales in the region slumped 32.3 per cent from a year earlier.
Toyota is considering alternative shipping routes and export destinations, but if the situation in the Middle East is prolonged, the company's earnings could be impacted.
[Copyright The Jiji Press, Ltd.]
