Millennium Post

US sales to offset China deficit: Toyota

Toyota is shrugging off a sales plunge in China set off by a territorial dispute and says it is headed to a record year on the back of strong growth in the rest of Asia and the US.

Toyota Motor Corp executive vice president Yukitoshi Funo acknowledged on Monday that achieving the company’s target of 9.76 million vehicle sales this year will be harder because of the problems in China. Violent protests and a call to boycott Japanese goods erupted after Tokyo nationalized tiny islands that are controlled by Japan but claimed by Beijing.

Toyota’s sales in China the last couple of months have fallen to about half of what they were a year earlier.

Initially, Toyota had expected to sell 1 million vehicles in China this year. Achieving that is now unlikely.

China comprises a significant 10 per cent of Toyota’s global vehicle sales, but sales are doing well in the rest of Asia such as in Indonesia, India and Thailand.But Funo, who oversees Toyota’s Asian operations, expressed confidence overall global vehicle sales will hit a record, surpassing the record 9.37 million vehicles sold in 2007.    


Hyundai Motor India Ltd (HMIL) on Monday said prices of its vehicles across models will go up by up to Rs 5,000 from 1 November. ‘The price increase has been necessitated by a variety of input costs,’ HMIL vice-president (National Sales and Marketing) Rakesh Srivastava said in a statement.

HMIL sells a range of models, from entry level Eon with price starting at Rs 2.75 lakh to premium sports utility vehicles tagged up to Rs 25.38 lakh (ex-showroom Delhi). ‘The price increase would be up to Rs 5,000 across models and would come into effect from 1 November, 2012,’ the company said.

Other car makers have already increased prices of their vehicles. Earlier this month, General Motors India announced hike in prices of its entire range of models by Rs 8,000 to Rs 20,000 depending upon the various models to minimise the impact of adverse currency movement and high input costs.
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