Author: Tronserve admin
Friday 30th July 2021 05:26 AM
Minivehicle Sales Post Sharpest Fall as Auto Market Nearly Halves
TOKYO (Kyodo) -- Sales of new minivehicles posted the sharpest fall in May as Japan's auto market nearly halved amid the coronavirus epidemic, which dampened demand and restricted business at car dealers, data from industry bodies showed Monday.
Sales of minivehicles with an engine displacement of up to 660 cc plunged 52.7 percent in May from a year earlier, the sharpest year-on-year fall since 1968 when comparable data became available, as overall vehicle sales in Japan dropped 44.9 percent to 218,285 units, marking the steepest drop and the lowest volume for the month of May.
New minivehicles sales totaled 70,307 units in the month, the Japan Mini Vehicles Association said, with Daihatsu Motor Co. and Suzuki Motor Corp. reporting a sales decline of 59.9 percent and 55.4 percent, respectively.
Combined minivehicle sales at the country's top two minivehicle sellers account for about 60 percent of the total, according to the association.
Excluding minivehicles, sales of cars, trucks and buses fell 40.2 percent from a year earlier to 147,978 units, the second smallest volume for May since 1968, the Japan Automobile Dealers Association said in a separate report.
Sales of Toyota-brand vehicles sank 33.9 percent in May and those that at Honda Motor Co. dropped 42.5 percent. Sales at Subaru Corp. and Mitsubishi Motors Corp. dropped 76.1 percent and 75.1 percent respectively in the month.
Vehicle sales declined further after Prime Minister Shinzo Abe declared a state of emergency in April, with consumers urged to stay at home and businesses to temporarily shut or shorten opening hours.
The state of emergency was fully lifted in stages toward the end of May as the pace of coronavirus infections slowed, but overall economic activity has yet to return to normal.
Vehicle sales had already been weak since October when the consumption tax was raised from 8 percent to 10 percent.
An official at JADA said sales of vehicles excluding minivehicles are likely to rebound in the upcoming months, saying, "The number of customers is gradually returning, and (auto sales) are expected to recover."