The cyclical motion of the US auto market – the second largest in the world – is apparently ready to reach another end, with the good times of increases apparently behind us, according to Nissan and Toyota.
Both Japanese automakers apparently agree there’s no potential future growth on the US market – and this is especially troublesome for the world’s largest automaker of 2015, Toyota. This is because the latter depends on the US market to fight the assault coming from Germany’s Volkswagen, which is way stronger in China, the world’s biggest auto market. This means that Toyota might be fighting a losing battle, because after four years of comfortable leadership, after the first nine months of the year VW has sold 7.61 million vehicles around the world compared to just 7.53 million from Toyota. The automaker has also had some issues with suppliers, while the latest generation Prius hasn’t performed well due to the low gasoline prices in the US.
On the other side, Nissan has also had its fair share of problems – including a profit cut due to higher incentives – so they don’t believe they can expand more in North America. “It’s a peak and we don’t see a potential for further growth,” commented Hiroto Saikawa, co-chief executive officer at Nissan. “The market turned out to be somewhat weaker,” added Takahiko Ijichi, Toyota executive vice president.
Via Automotive News