Leading Japanese vehicle maker Toyota Motor Corp. has seen a whopping 42 per cent fall in sales for the second quarter of this year (first quarter fiscal year).
For 2021, its sales were down 30 per cent.
The motor company’s fiscal year ends March 31, 2023.
Toyota expects operating profit to fall 20 per cent to US$17.9 billion with net income declining by 17 per cent to US$17.6 billion.
It still expects to produce 9.7 million vehicles this financial year.
Known for its reliability and durability, Toyota has been severely impacted by supply chain issues, a chip shortage, the negative effects of the COVID-19 pandemic, and rising costs of materials and operations at its Chinese plants.
Yet it is not raising the prices of its vehicles preferring to take a long-term approach.
At the start of this year, Toyota surpassed General Motors Co. in US sales for the first time ever in 2021.
Toyota expects sales to pick up in the second half of the year.
But even with declining global sales, the Toyota Camry remains the best-selling car in America with 137,000 units sold so far this year. The next best-selling car in America is the Toyota Corolla.