Toyota And Nissan No Longer Find US Auto Market Very Profitable
Toyota and Nissan have been among the top automakers to make their name in the US auto market. However, despite America's supposed recovery from what people called a recession, it seems that the auto market appear to be slowing down. Recent developments give the two Japanese auto manufacturers worried and come to conclusion that the U.S. auto market may no longer very profitable as before.
US Auto Market Has Reached Its Peak
In a report given by Bloomberg, Takahiko Ijichi, executive vice president of Toyota noted of the market's weaker position. The statement was given after a 43 percent drop in the operating profit under quarterly basis has been reported by the Japanese automaker. Takahiko also added that the North American market "really requires very careful managing going forward". Meanwhile, Nissan Motor Co. no longer sees any room for potential growth in the U.S.
What Could Be The Reason For The Slow Down
According to a report from The Car Connection, SUVs, trucks and crossovers are the preference of the American auto market nowadays. Although, this is considered to be a trend that may change depending on fuel costs, most people do not see this happening in the near future. The same report also stated that American auto manufacturers such as Ford and General Motors now have the advantage in the U.S market. Another factor being considered in this matter is the Japanese yen being really strong now, causing the profits of the Japanese automakers to be lower once their U.S revenue is converted into yen.
What Is Next For The Japanese Automakers
While Toyota and Nissan came to the same conclusion, there is no indication as to whether or not they will be pulling out of the U.S market. The Car Connection reported that the increase in the Asian sales is faster than that from the U.S market and both automakers see this. Since Toyota and Nissan no longer find U.S auto market very profitable, it is safe to assume that they will focus on the Asian market in the meantime.
Toyota Sets Higher Price For 2017 Highlander, Will It Be Worth It?
A higher price has been set for the 2017 Toyota Highlander. What makes it worth paying for?
2018 Toyota C-HR Update: Subcompact Crossover Confirms LA Show Debut
Toyota's 2018 C-HR is finally making its American debut at the 2016 LA Auto Show later this month.
Ferrari Powered Toyota GT4586: One Of A Kind Drifting Machine
When Toyota 86 meets Ferrari 458, the Toyota GT4586, a one of a kind drifting machine is born.
Why Buy the New Build-it-Yourself 70's Themed $41,500 Caterham Super Seven 1600? Toyota Camry and Mazda MX-5 Miata Comparison
If you're a fan of old vintage cars, why not take it a step further and get yourself a 70's themed Caterham Super Seven 1600 that was modelled over the 50's?
Student Friendly Brand New Cars of 2020: Ford, Chevrolet, and Toyota All Under $16,000
If you've thought about it and really want to buy yourself a brand new car that's within your budget, here are a few of the best student-friendly cars by Ford, Chevrolet, and Toyota.
MORE IN ITECHPOST
Want To View Inaccessible Content That's Region Locked? ExpressVPN Is On Sale!
When viewing content online, you may come across content that's not available for you because of your location. A VPN can help you bypass those restrictions!
[Video] SpaceX Starship Prototype Explodes Ahead of Upcoming Historic Crewed Rocket Launch
Before the upcoming historic crewed rocket launch by SpaceX's Dragon, the Starship prototype exploded in Texas!
Darkest Dungeon Is Celebrating Its New DLC With A Free Weekend: Here Are Some Tips To Help You Out!
Red Hook Studio's Darkest Dungeon has had a new DLC released on Steam and with it a free weekend. Grab the PvP game and try it out after reading these tips on how you can play the game the best you can.