Toyota Stays No. 1, But Barely
How is this for an amazing bit of news?
Bankrupt General Motors, which has been losing market share like crazy since last year, nearly beat out Toyota during the first half of this year for global sales. Toyota sold 3.56 million vehicles during that time span, while GM sold 3.55 million, a difference of just 10,000 cars.
Having relinquished its 77 year long hold on the top spot just last year, news that GM nearly overtook Toyota is nothing short of stunning. However, a look at the operations of both companies reveals that over the past several months Toyota sales have dropped more precipitously than GM in the United States while GM sales in China continued to surge.
Strong 2nd Quarter
Perhaps most telling is that GM actually outsold Toyota in the second quarter as the automaker rode a Chinese sales wave to beat out Toyota 1.94 to 1.4 million vehicles. That may carry forward to the third quarter as GM stabilizes its losses and keeps production levels realistic. Toyota will soon be ramping up production of its hybrid models, but will there be enough demand to justify the increased production?
But both manufacturers have more pressing business to contend with than an annual sales battle. GM is on government life support, having emerged from bankruptcy in July with all of its most troubled assets left behind. The automaker has lost tens of billions of dollars over the past five years while Toyota itself has been posting record losses and is expected to continue to do so this fiscal year.
Volkswagen Presses In
Of course, if keeping track of sales is your thing then you may be interested in noting that Volkswagen is gaining on both companies, having sold 3.1 million vehicles in the same period. Indeed, some analysts are openly predicting that Volkswagen will soon become the new #1, letting Toyota and GM fight for the second slot.
Source: The Wall Street Journal
See Also — Study Reveals That Americans Open To Cars From China, India
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