Toyota posts sixth straight month of declining global sales

The world’s largest automaker amended the sixth consecutive month of decline in global sales. In July, Toyota sold 912,683 vehicles, a number that includes the subsidiary Daihatsu, a decrease of 5.3% compared to the same month in 2025. Production fell 1.4% to 934,953 units. The data was released by the company and compiled by Bloomberg.

The biggest weight comes from China. Sales of Toyota and Lexus fell 24.3% in the country, in the sixth consecutive month of decline, stifled by local manufacturers, who dump on the market electric cars stuffed with software at aggressive prices. And, contrary to what one might assume, the expensive fuel did not help hybrids there: according to Toyota itself, the rise in gasoline reduced demand for both combustion and hybrid models in the Chinese market.

The Middle East’s

hole The region that melted the most, however, was the Middle East, with a drop of 44.5%. The conflict involving the United States, Saudi Arabia and Iran disorganized shipping routes and pushed the price of oil up. A fact that went almost unnoticed helps to measure the damage: Toyota exports between 500 thousand and 600 thousand vehicles per year to the region and calculates that a little less than half of this volume is affected by logistical interruptions.

In the United States, the company’s largest market, the drop was only 0.8%. In Japan, there was an increase of 11%, with 150,097 units of the Toyota brand, driven by launches such as the new RAV4, the bZ4X and the Land Cruiser FJ. From January to July, the group totaled 6,275,281 vehicles, 2.6% less than in the same period of 2025.

Hybrids on the way to 5 million

The breather comes from electrification. In the first seven months of the year, Toyota and Lexus sold 3,180,993 electrified vehicles, up almost 10% and more than 54% of everything the company delivered. Conventional hybrids accounted for 2,731,214 units, an increase of 5.1%, while 100% electric vehicles totaled 230,163, a jump of 130%.

The company’s projection, presented by Takanori Azuma, accounting director, is to close 2026 with more than 5 million hybrids sold worldwide, an unprecedented mark. To meet demand, the manufacturer is preparing a new generation of batteries and converting lines in Japan with a capacity for about 600 thousand vehicles per year.

Japanese rivals are experiencing a similar scenario, but not identical. Nissan sold 219,495 vehicles in July, down 16.5%, with production 16% lower. Honda, on the other hand, recorded a 3.4% increase in global sales, to 289,142 units, driven by a 13% increase in the United States – which did not prevent a 44% drop in China or a 3.3% decline in world production.