TOKYO >> Toyota Motor Corp.’s global sales and production volumes in April fell from the same month a year earlier due to fierce price wars in China and declines in Japan caused by production suspensions of some models and safety test fraud in its small car division.
Global sales fell 0.5 percent in April as a 27 percent drop in China, the world’s largest auto market, and a 14 percent drop in Japan offset double-digit growth in the United States and Europe. Toyota said sales in China fell despite holding promotional events at stores across the country.
Automakers are locked in a fierce price war in China’s huge but competitive auto market, and Japanese automakers are facing huge pressure from a shift to electric and plug-in hybrid vehicles sold by Chinese brands.
Toyota’s sales in Japan were hit by the suspension of Prius production at its Tsutsumi plant for quality inspections and the halting of some production lines at Toyota Body Plant, which makes the Noah and Voxy minivans, as well as by a cheating scandal at small-car maker Daihatsu.
The world’s top automaker by production volume said its global production fell 4.0 percent as declines in markets such as China, Japan, Thailand and Mexico outweighed increases in the United States and India.
Reuters reported this month that Toyota was forced to repeatedly halt production at its Tijuana, Mexico, plant, which makes the Tacoma pickup truck, in February and March.
About 40% of the cars Toyota sold in April were gasoline-electric hybrids, while just 2% were electric vehicles.
The global sales and production figures include Toyota’s luxury brand Lexus. Separate figures from Daihatsu showed its global sales fell 54% in April.