Toyota wants to significantly increase its production in China. This was confirmed by company spokespersons Reuters.com. Part of the strategy is to integrate the Chinese sales and production departments more closely and to give local managers more freedom. China is the largest regional new car market in the world, ahead of the USA. Domestic manufacturers such as BYD and Geely are well ahead of the competition.
Toyota wants to produce up to three million vehicles in China every year
According to the report, up to three million vehicles will be produced in China annually by the end of the decade. This would be an increase of 63 percent compared to the previous production record of 1.84 million vehicles in 2022. Toyota plans to better integrate the know-how of local partners into vehicle development and consolidate production. Reuters.com reports that Toyota has already informed some suppliers of planned production increases to stabilize the supply chain.
Toyota sold more than ten million cars last year
Toyota is the largest car manufacturer in the world. Loud “de.engine1Toyota sold 10,307,395 vehicles in 2023 together with its luxury brand Lexus. In addition, there were sales figures from the subsidiary Daihatsu amounting to a good 790,000. The Volkswagen Group, the world’s number two, reached 9.24 million vehicles.
In the past financial year, Toyota achieved sales of 287.5 billion euros and, according to Statista, net profit reached 31.5 billion euros. For comparison: VW achieved sales of 322 billion euros and profits of 23 billion euros. This shows: VW produces at significantly higher costs.
There are also clear differences in the group value: while the stock exchanges Toyota The brand is valued at 271.98 billion dollars (254 billion euros). Volkswagen to 46.20 billion euros.
While Toyota is expanding its production, Volkswagen is facing the problem of overcapacity. CEO Oliver Blume plans to close up to three plants in Germany.
