Toyota blames high gas prices as global sales fall again, while EV sales jump 170%
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- Toyota reported global sales fell 7.2% in May to 834,279 units (including Lexus), marking the fourth consecutive month of year-over-year declines despite steady demand in North America (-0.1%), Europe (-0.3%), and Japan.
- Toyota blamed rising gasoline prices as its China sales dropped 31.7% in May to 102,299 units, with year-to-date sales down 15% to 579,419 vehicles; new joint-venture EVs like the bZ3X are seeing strong demand while ICE models drag.
- Toyota's global EV sales jumped 170% in May to 37,313 units, with 155,074 BEVs sold through May (up 138% year-over-year), though pure-electric vehicles still account for only 7% of total sales.
- The bZ3X, a joint-venture EV starting at ~$15,000 (109,800 yuan), was China's top-selling joint-venture EV in April — its seventh consecutive month at the top — while the updated bZ became America's third-most-popular EV in Q1 and Japan's best-selling domestic EV.
- Toyota is sticking with its "multi-pathway" strategy spanning BEVs, hybrids, plug-in hybrids, and ICE, and plans to add the Highlander BEV and Lexus TZ three-row electric SUVs later this year — even as the source notes "cracks forming" in key markets like China.
- Toyota relies on Chinese suppliers like BYD for EV components and technology, while BYD CEO Wang Chuanfu said earlier this month his company will "truly become the No. 1 automaker globally in terms of scale" within five years.
Why it matters: Toyota's 31.7% China collapse — with EV sales up 170% globally — exposes the limits of its multi-pathway strategy in the world's largest auto market, where gas-powered vehicles are ceding ground to locally made BEVs. With BYD's CEO publicly targeting the global No. 1 spot within five years, Toyota's hedge in China is being tested by an accelerating EV transition.
