Toyota leaps to record sales, output in 2023 as chip crisis fades

TOKYO — The world's biggest automaker just got even larger, thanks to a year of record results.

Toyota Motor Corp. stormed ahead to all-time highs in sales and production in 2023 as the Japanese auto juggernaut put the microchip shortage behind it and ramped up factories to meet booming demand in the U.S. and Europe, especially for electrified vehicles.

In announcing calendar year results Tuesday, Toyota said global sales climbed 7.2 percent to 11.23 million vehicles. The results include sales from the company's consolidated Daihatsu minicar subsidiary and truck making Hino Motors affiliate.

"Strong demand in North America and Europe helped," a Toyota spokesperson said during a briefing about the annual figures. "We see that demand among customers shifted to hybrid and plug-in hybrid vehicles. This is one of the reasons behind the 2023 results."

Overseas sales also reached a record, increasing 4.1 percent to 8.93 million.

Deliveries of electrified vehicles helped underpin the global swing. Sales of hybrids, plug-in hybrids, battery-electrics and hydrogen fuel cell models rose 35 percent to a record 3.7 million.

Electrified product accounted for about 36 percent of combined Toyota and Lexus sales.

Global sales for the Toyota and Lexus brands alone also reached an all-time high, advancing 7.7 percent to 10.31 million vehicles.

And the Lexus brand galloped to a new calendar-year record. Worldwide sales at the premium brand advanced 32 percent to 824,258 vehicles in 2023, the company said.

The U.S. remained Toyota's biggest global market, with 2.25 million in total sales. China was runner-up, with 1.91 million, and the home market of Japan was third, with 1.67 million.

Sales in Europe increased 9.1 percent to 1.13 million for the year.

Surging deliveries rode free-flowing supply as Toyota ramped up output to record levels and factories at home and abroad saw the global semiconductor shortage fade into history.

Worldwide production advanced 8.6 percent to 11.52 million vehicles, including Daihatsu and Hino. The Toyota and Lexus brands alone saw output increase 11 percent to 10.03 million.

Record global results were driven by highest-ever production levels at overseas plants.

Production outside Japan climbed 3.6 percent 7.21 million vehicles. Domestic output, meanwhile, booked an 18 percent increase to 4.31 million vehicles, including Daihatsu and Hino.

Japan remained Toyota's biggest production base. Output for Toyota and Lexus in Japan jumped 27 percent to 3.37 million vehicles in 2023. China was No. 2, despite a 4.7 percent drop in production to 1.75 million vehicles. The U.S. ranked third, with output up 8.8 percent to 1.23 million.

Naoto Okamura contributed to this report.