Tuesday, December 01, 2009

Auto Sales Growth in Japan Continued in November

Auto market in Japan is gradually getting over the recession and is now in its way to retain the market strength. The market has seen sales growth in November which has been the fourth straight rise in sales. Incentives by Japanese government helped the domestic auto market regain its strength as demand has been increased significantly since August. Demands fell in Japanese market last year after the collapse of Lehman Brothers Holdings Inc. in September 2008. Naturally, the last few months of the last year was largely affected by global economic recession. So, the year-on-year performance of the same period this year seems to be better now. However, it is also true that government subsidies were instrumental behind the sales growth of the Japanese market.

Bloomberg reported:

Sales of cars, trucks and buses, excluding minicars, rose 36 percent to 293,410 vehicles in November from a year earlier, the Japan Automobile Dealers Association said in a statement today. Toyota sold 147,513 units, excluding Lexus-brand cars, up 39 percent.

November sales jumped 73 percent at Honda, while Nissan Motor Co., the nation’s third-largest automaker, sold 33 percent more vehicles.

Well, it is good news for the Japanese automakers. Global auto market has struggled a lot when economic recession was rife and demand fell significantly leading many companies to yearly loss. US government also provided some incentives to help the auto market as did the Chinese government. Overall, it seems that global auto market is gradually getting over the recession.