North American division of Toyota no longer profitable

Posted on Wednesday, 22 July 2009 , 08:07:24 byEmil

Filed under toyotaamericamanufacturerprofitprofitablefiscalcompanyToyota

North American division of Toyota no longer profitable

Yoshimi Inaba, CEO of Toyota Motor Sales USA, revealed in a report that was published by the Detroit News yesterday, that the company`s operations in North America are ``no longer profitable``.

The CEO of Toyota Motor Sales USA explains that some of the reasons behind the Japanese automaker`s downfall are the ``boring`` cars and the current market forces.

This news comes after the announcement of the first ever full year operating loss of the company, three months ago, following Toyota`s huge success in the region in the past years.

It looks like US sales went down 38% in the first half of the year, managing to outpace the overall market decline of 35%, despite the Japanese manufacturer`s drastic cost cutting measures.

Yoshimi Inaba also blames the company`s current model lineup, although the downtrodden economy is undoubtedly behind most of Toyota`s sales decline. Mister Inaba also said that the comments they usually or always get are that Toyota is a good car but not exciting. He also said that the future Toyota vehicles will be ``more exciting and more nimble`` when Toyota North America will return to profitability next fiscal year.