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Toyota Reports Consistent Loses

Toyota has reported that for the second consecutive month that vehicle production world wide has decreased. What is to blame for this sudden decrease in consumer demand for Toyota? Well, many people are speculating that the decrease is due to the damaged reputation because of the many recalls that Toyota faced. Recalls that they are still fighting in courts, however, thus far in the United States, it does not look like Toyota is going to walk away from the charges with a clean slate. 

However, there may be other factors that are affecting the sales of Toyota. For example, Nissan and Hyundai has received better safety ratings that some of the most popular lines that Toyota produces. For this reason, many consumers are flocking to purchase these new and safer cars. This could also be affecting that the demand for Toyota is decreasing. However, Toyota executives have stated that sales are down in Japan because the recent promotion that encouraged consumers to purchase more fuel efficient vehicles, which put them right in line to purchase a Toyota, has ended. Thus, they are suffering from a drop in sales. 

Toyota is considered to be one of the biggest automakers in the world. According to figures that they have released, they manufactured 613,169 vehicles last month. When they compared this number to what they produced the same the year before, the number has decreased by around 14%. This decrease is not only being felt in Japan, but also in North America and Europe. 

Honda has reported that they have seen global output increase by 1.4%, while Nissan has reported that they have seen a production increase of 12%. What's in store for Toyota for the future? Only time will tell, however, as more consumers are looking for more fuel efficient vehicles and they get the whole recall ordeal behind them, most professionals believe that they will still be considered a top automaker.