Sales in Japan plummet

Overall new light-vehicle registrations decrease by 17.7 per cent year on year.
Posted on 09 July, 2024
Sales in Japan plummet

Sales of new vehicles in Japan in the first half of 2024 declined by 13.2 per cent from 2023 to about 2.13 million units, the first time in two years that registrations have fallen below the previous year’s figures.

In the first six months, overall vehicle sales dropped by 10.7 per cent year on year to 1,397,651 units, while light-vehicle sales plunged by 17.7 per cent to 729,839 units.

In June alone, new-car sales saw a downward trend for the sixth consecutive month by decreasing 4.9 per cent from a year ago to 373,599 units, with sales of registered vehicles and light vehicles marking the sixth and seventh straight months of negative growth, respectively.

There have been several factors contributing to the sales slump. These include the discovery of data-testing deficiencies, which led to a halt in the production and shipping of certain models in June, such as Toyota’s Yaris Cross, pictured, and Mazda’s Roadster RF.

Despite steady demand, the continued suspension of production, stagnant wages and rising prices are still affecting consumer spending, suggesting Japan’s new-car market will continue to face difficulties in the coming months.