Toyota Defies Trade Pressure to Set New Global Sales Record
Toyota has once again proven its dominance in the global automotive industry, achieving record-breaking sales last year despite mounting trade tensions and fierce international competition.
The Japanese automotive leader announced that its total global vehicle sales including subsidiaries Daihatsu and Hino Motors climbed 4.6% to 11.3 million units, securing its position as the world’s top-selling automaker. This performance significantly widened the gap with German rival Volkswagen, whose sales dipped slightly to 8.98 million vehicles.
The milestone comes at a time when global market conditions are far from easy. In China, one of Toyota’s most important markets, sales remained flat as competition intensified from fast-growing domestic brands, particularly electric vehicle giant BYD.
Yet Toyota’s strength showed clearly in the United States, where sales surged 8% even in the face of steep trade tariffs. Between April and mid-September, Japanese auto exports were hit with a 25% tariff, later capped at 15%. Despite this, Toyota sold 2.52 million vehicles in the U.S. in 2025, nearly a quarter of its global total.
To stay competitive, Toyota ramped up local production, increasing output at its U.S. factories by 10%. Its expanding lineup of fuel-efficient hybrid vehicles has been a key driver of demand.
Still, the tariffs came at a cost. Toyota previously estimated that U.S. trade duties could impact its annual operating profit by around 1.45 trillion yen (approximately $9.5 billion). To offset the pressure, Japanese automakers have been forced to reduce export prices to maintain market share.
While Toyota pushes forward, other Japanese automakers are struggling. Nissan, currently facing financial difficulties, saw global sales fall 4.4% to 3.2 million vehicles, including a sharp 6.3% drop in China. Honda also reported a steep 9% decline, with global sales slipping to 3.4 million vehicles.
Toyota’s performance highlights a powerful lesson in resilience: even amid political uncertainty, trade barriers, and rising competition, strategic production shifts and strong product demand can keep a global giant moving ahead.
