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Report: Toyota Expects 7% Drop in Sales in FY09

The Nikkei reports that Toyota Motor Corp. expects group sales to fall to slightly more than 7 million vehicles worldwide next fiscal year, 7% less than the level forecast for fiscal 2008 and down more than 20% from the peak marked in fiscal 2007.

In December, Japan’s leading carmaker cut its current-year group sales forecast to 7.54 million units from an earlier projection of 8.24 million units. The sales figure includes those of Hino Motors Ltd. and Daihatsu Motor Co.

Because Toyota has a global output capacity of slightly below 10 million vehicles, the new sales outlook means the company faces a supply glut of more than 2 million units next fiscal year.

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