Toyota increased its full-year profit target to $9.7 billion, despite the loss in sales in the Chinese market.
Toyota and its to joint ventures in China saw their sales almost cut in half in the country in September and October due to the violent protests which began after Japan purchased the disputed islands in the East China Sea. Honda also saw its sales down more than half and Nissan fell 41%. In 2011 Toyota sold about 900, 000 cars in China and it said that the loss in China will make it lose 30 billion yen from the full-year profit.
Last week Honda had to cut its target for this year by a fifth due to the damage in China, while Nissan is expected to do the same on November 6th when it will report the July-September results. Toyota was able to increase its full-year profit target as the Chinese market accounts for only 12% of the automaker’s sales, compared with Honda’s 20% and Nissan’s 27%.
The profit target for the year ending March 2013, increased to 780 billion yen, up 2.6% and the full-year operating profit is expected to be 1.05 trillion yen, up from the previous forecast of 1 trillion yen.