Yet another consequence of increasing oil prices has struck at Toyota. It is the Japanese car manufacturer that has to adjust to the times, just as other automotive producers. Soaring oil prices have caused a drop in the demand for high consumption vehicles. The world's second largest carmaker has been confronted with diminished demand in the US.
The US is Toyota's biggest market for lorries and long haul vehicles and thus the company will have to review their 2.64 million vehicle target that was set for this year. The meeting is set to take place next month and a new target is most probably going to be set.
Unfortunately for Toyota, even though they lead the market in fuel efficient cars, it has not been enough to keep them unaffected from what seems to be a global crisis for the automotive industry. The drop in car sales in the US has had a knock on effect on Toyota's share prices. US auto sales has dropped by 13% this year and Toyota lorry sales have dropped by more than 7%. This is all thought to be due to the $4 a gallon oil price tag.
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