Japan’s new vehicle market expanded by over 12% to 376,255 in January 2025, up from 334,876 units a year earlier, according to registration data released by the Japan Automobile Manufacturers Association.
The market last month came up against weak year-earlier data, when Daihatsu Motor – Toyota Motor’s small car subsidiary, was forced to halt production of a number of key models following its safety test rigging scandal. This also affected other affiliated brands, including Mazda and Subaru.
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Sales of passenger cars rose by 15% to 328,205 units in January, while truck sales dropped by almost 3% to 47,354 units. Sales of medium and large buses and coaches fell by 8% to 696 units, after two years of strong growth following the Covid pandemic lockdowns.
Toyota’s domestic sales rose by 14% to 120,234 units last month, while Daihatsu’s sales more than doubled to 40,931 units from very depressed year-earlier levels and Mazda’s volumes rebounded by 24% to 13,041 units. Suzuki continued to enjoy good sales growth, of 8% to 61,305 units, while Honda’s sales dropped by 6% to 50,335 units and Nissan’s sales were down by 3% to 39,690 units.
Overseas brands account for just 4% of total vehicle sales in Japan last month, led by German automakers including Mercedes-Benz, BMW-Mini, Audi and Volkswagen.
The vehicle market in 2025 is expected to continue to recover from last year’s setbacks, supported by steady economic growth forecast at around 1.2%. The new government said it will continue to support domestic economic growth, with a focus on driving up wages and household incomes, revitalizing regional economies and encouraging corporate investment.
