Toyota plans to sell 10.4 million vehicles globally in 2009, well above the auto industry's current 30-year-old record and another sign of the Japanese automaker's momentum toward displacing industry kingpin General Motors.
But even as he outlined the ambitious plan, Toyota Motor Corp. President Katsuaki Watanabe said the company was going after quality — not quantity.
“As we continue to elevate quality in our products, then I think quantity will follow as a result,” he told reporters at a Tokyo hotel.
The total would be an 11.3 percent increase from the 9.34 million vehicles Toyota plans to sell this year and would eclipse GM's auto industry record of 9.55 million vehicles sold in 1978.
Analysts said Toyota's target was realistic.
Koji Endo for Credit Suisse in Japan said 10 million in sales was a benchmark for Toyota but said the number was a cautious underestimate.
“That's probably the bottom line. Toyota is telling us that it's confident it can grow in America, Europe, Asia, China, just about everywhere,” he said. “But even after it passes that point, Toyota is saying it's not going to turn back and will continue to expand.”
Toyota has already beaten General Motors Corp. in global vehicle sales for the first six months of this year, selling 4.72 million vehicles, compared to GM's 4.674 million vehicles.
And it could be on track to snatch from GM for the whole year the title of biggest automaker — a title Detroit-based GM has held for 76 years.
GM declined to comment Friday on Toyota's sales forecast and has not issued forecasts for 2008 or 2009.
Toyota said it aims to boost 2009 sales in North America to 3.1 million vehicles, in Asia excluding Japan to 1.9 million, and in Europe to 1.45 million.
Watanabe said at the news conference Toyota will focus on product quality, introduce new gas-electric hybrid technologies, and boost sales not only in North America and Europe, but also in emerging markets such as Brazil, India, China and Russia. Sales in Japan, though, were expected to stay relatively flat.
Toyota sales have benefited from the popularity of its Camry sedans, Prius gas-electric hybrids and other models reputed for good mileage at a time when gasoline prices are soaring.
GM has been forced to scale back production amid intensifying competition from Toyota and other rivals, although it posted its third straight quarterly profit in the April-June period, marking a reversal from a big loss the previous year.
Toyota and its group companies, including subsidiaries Daihatsu Motor Co. and Hino Motors Ltd., sold 8.8 million vehicles worldwide last year, trailing GM at 9.1 million vehicles. Toyota has said it plans to sell 9.3 million vehicles this year, and 9.8 million vehicles in 2008 — a goal that would break GM's annual record.
Shotaro Noguchi, auto analyst with Mitsubishi UFJ Securities Co. in Tokyo, said he had little doubt that Toyota will be able to achieve its sales targets, as long as U.S. auto market conditions remain stable.
“Toyota will make sure to carry out, one step at a time, what it's doing so successfully now,” he said.
Watanabe said Toyota must remain vigilant so it doesn't become arrogant. It will continue to maintain tight quality controls, work with dealers in every region and keep up worker morale, he said.
Toyota said it will achieve growth by targeting emerging economies with low cost models. It will also woo buyers by raising the number of nations where Lexus luxury models are sold to 76 by 2010 from the current 68.
But in his typical understatement, Watanabe denied the company was chasing sales numbers and brushed off a question about the meaning of beating GM.
“All I can say is that I am truly grateful for every customer who bought our cars,” he said. “I really believe we must never forget this feeling that it's building on each and every car.”
