Toyota global sales drop 5.2% in July 2026

Toyota Motor Corporation reported global sales of 912,683 vehicles in July 2026. This figure, which includes sales for the Toyota, Lexus, and Daihatsu brands, represents a 5.2% decline compared to the same month the previous year.

While the Japanese domestic market grew by 6.6% to 193,785 units, sales outside Japan fell by 8.1% to 718,898 units. The company attributed the overseas decline to the conflict situation in the Middle East and increasingly fierce competition in foreign markets.

Seven-Month Sales Overview

For the first seven months of 2026, the Toyota Group's worldwide sales reached 6,275,281 vehicles. This marks a 2.6% decrease from the same period in 2025. The figures do not include sales of truck maker Hino, which separated from the Toyota Group at the end of March 2026.

Breaking down the seven-month total, sales in Japan increased by 5.8% to 1,279,537 units. Conversely, sales in foreign markets decreased by 4.5% to 4,995,744 units.

Regional Performance Breakdown

Focusing solely on the Toyota and Lexus brands for the January-July period reveals a 3.2% global decline to 5,865,023 vehicles. The North American market showed slight growth of nearly 1%, reaching 1,707,751 units. Within that, U.S. sales saw a minor increase to 1,459,752 units.

Performance varied significantly by region. The South American market, excluding Mexico, fell by 5% to 273,128 units. Asia, excluding Japan, saw an 8.2% drop to 1,668,907 units, heavily influenced by an 18% plunge in the Chinese market to 809,417 units. In contrast, the European market showed a slightly improved trend with sales of 709,500 units.

The overall picture indicates Toyota is facing increased pressure in foreign markets. According to the source report from Just-Auto, this is due in part to Chinese brands continuing their aggressive play on pricing and new energy vehicles.

Electrified Vehicle Growth

Despite the overall downturn, Toyota's electrified vehicle segment demonstrated clear growth. Global sales of Electrified Vehicles, which include hybrid, plug-in hybrid, and battery electric vehicles, increased by nearly 10% in the first seven months to 3,180,993 units. This accounts for more than 54% of the group's total sales.

Battery electric vehicle (BEV) sales surged by 130% to 230,163 units, with the majority sold in overseas markets. Hybrid vehicle sales rose by 5.1% to 2,731,214 units.

Daihatsu's Strong Performance

The Daihatsu brand posted robust results. Its global sales for the seven-month period increased by 6.7% to 410,258 units. This growth was driven by a 6.0% rise in the Japanese market to 324,719 units and a 9.1% increase in overseas sales to 85,539 units.

The broader view suggests that although the Toyota Group faces declining global sales, particularly in markets like China, its domestic Japanese market and growing electrified vehicle sales remain key factors supporting the business in 2026.