Toyota Motor Corp. wants to be the worlds top auto manufacturer in 2020 and the plan is to deliver more than 10.8 million vehicles in 12 months. Toyota’s task will not easy as car buyers globally are changing their buying trends and with big automotive mergers creating huge automotive partnerships, the landscape is changing.
The Volkswagen Group is still the No.1 automaker globally with their Scania and MAN truck and bus sales growing around the world. Yes, both Scania and MAN are part of the Volkswagen Group.
Toyota is not far behind as they have commercial vehicles producer’s Hino and Daihatsu in their portfolio and their sales are also doing well.
The only stumbling block for Toyota will be the recent merger of PSA and the FCA group which will bring together a number of big auto brands under one umbrella. This collaboration will create a possible annual unit sales of 8.7 million vehicles. The combined entity will have a balanced and profitable global presence with a highly complementary and iconic brand portfolio covering all key vehicle segments from luxury, premium, and mainstream passenger cars through to SUVs and trucks & light commercial vehicles.
Yes, 8.7 million is some 2 plus million behind Toyota’s target, but with shared resources and platforms, the PSA-FCA group could save billions in cost and sell at lower prices to boost total sales.
Well, we will have to wait and see what happens in the coming months.
PRESS RELEASE: Toyota said in early November this year that its net profit edged 1% higher in July-September as vehicle sales grew around the world.
Toyota Motor Corp.’s profit for the second fiscal quarter totalled 592 billion yen (USD5.4 billion), up from 585 billion yen last year.
Toyota, which makes the Prius hybrid, Corolla subcompact and Lexus luxury models, stuck to its net profit forecast for the fiscal year through March 2020, at 2.15 trillion yen (USD20 billion).
That would be an improvement over the 1.88 trillion yen earned in the year ended in March.
Vehicle sales for the latest quarter grew both in Japan and overseas, including in the U.S., the rest of Asia and Europe.
Like most Japanese exporters, Toyota has been hurt by a strengthening yen. But the results show Toyota is holding up despite such negatives.
For the fiscal first half, cost cuts and marketing efforts offset the impact of an unfavorable exchange rate, it said.
Toyota also said it will buy back up to 200 billion yen (USD1.8 billion) worth, or 34 million shares, of the company’s common stock.
Toyota officials have stressed the company is focused on becoming a “mobility company” for a future when consumers may opt for new ways of car ownership like car-sharing, or choose futuristic electric vehicles instead of automobiles common today that run on petrol.
