Japanese Automakers’ Sales in China Down for Fourth Straight Quarter image

Nissan, Toyota and Honda sales in China dropped for the fourth straight quarter, a clear sign that sales have not yet recovered from the backlash against Japanese brands.

Sales for the three Japanese automakers dropped 4.9% last quarter, as Nissan, Honda and Toyota still struggle to win back buyers after the September territorial dispute between Japan and China, which sparked aggressive demonstrations.

“Their total sales will recover in the second half,” said Vivien Chan, a Hong Kong-based analyst at Oriental Patron Holdings. “In terms of market share, however, it will be impossible for the Japanese cars to rebound to the 22 percent level they had before the island disputes” as competitors offer or plan to sell more affordable, smaller cars, Chan said.

Nissan’s sales in China dropped 7.7% in June to 101,400 vehicles, from an increase of 2% in May. Nissan manufactures vehicles in China in partnership with Dongfeng Automobile Group. Toyota’s sales in China last month increased 9% to 76,900 vehicles, from a 0.3% increase in May. Toyota has two joint ventures in China with FAW Group and Guangzhou Automobile Group and this year the automaker plans to sell 900,000 vehicles in the region, up 7.1%. Honda’s sales in this market fell 5.6% in June to 61,003 units, from an increase of 4.6% in May.

Source: Bloomberg