Toyota reported China sales in October down 44% due to the continuous territorial dispute between China and Japan.
Toyota said today, November 1st, that its two JV partners in China sold 45,600 vehicles, a 44% decline after a nearly 50% drop in September. From January to October the automaker sold 685,900 vehicles in the country, a decrease of 1% compared with the same period last year.
Last month Toyota announced it is forced to cut group production target for this year by 2%, which means 200,000, due to the drastic decrease of car sales in the Chinese market. The initial production forecast for this year was 10.05 million vehicles, which would have made Toyota the first automaker to manufacture more than 10 million units in a year.
In 2011 Toyota exported in China in October 78,000 units and production in this country reached 800,000 vehicles last year, selling a total of 880,000 cars in the Chinese market. Since the mid-September Chinese protests, Japanese showroom traffic and sales have dramatically decreased in the country. As China is one of Toyota’s most important markets, a prolonged sales hit may affect even more the company’s profit forecasts.