Overview
Toyota Motor said on Monday that worldwide vehicle deliveries in March fell for the second month running, with total global sales down 7.3% from a year earlier to 897,871 units. The companys sales figures encompass its Lexus luxury marque.
Regional and model drivers
Overseas sales declined 7.2% in March, while domestic shipments in Japan decreased 7.8%. By market, Toyota recorded an 8.5% drop in the United States and an 8.0% fall in China. The company disclosed a particularly steep contraction in the Middle East, where sales tumbled by nearly a third during the month.
Toyota reported that sales in the Middle East totaled almost 34,000 vehicles in March. The company did not provide a specific reason for the sharp fall in that region.
Production and operational notes
Despite the decline in sales, Toyotas global production rose 2.1% in March versus a year earlier. Production increases were reported in the United States, up 4.9%, and in China, up 7.7%. Production in Japan decreased by 3.3%.
Toyota said overall underlying demand remained steady. However, the company cited a shift in manufacturing as a factor affecting deliveries: it moved production from the outgoing RAV4 to a new RAV4 model. The RAV4 is one of Toyotas best-selling models worldwide, and the model changeover weighed on March deliveries.
Market context noted by other manufacturers
The company did not link the Middle East decline to a specific cause. The article notes that other automakers have said demand in the Middle East weakened as the U.S.-Israeli war against Iran disrupted shipments through the Strait of Hormuz and broader economic activity, a factor those manufacturers cited as affecting the regions car market.
Company ranking
Toyota was the worlds top-selling automaker for a sixth consecutive year in 2025, according to calculations reported alongside the companys results.
Summary of implications
- Sales fell 7.3% year-on-year to 897,871 vehicles globally in March.
- Regional performance varied sharply, with the Middle East down nearly a third, U.S. sales down 8.5% and China down 8.0%.
- Production rose 2.1% overall, led by increases in the U.S. and China, while Japans production declined.
Note on information limits
Where the article reports that other automakers attributed weaker Middle East demand to disruptions linked to the U.S.-Israeli war against Iran, that attribution is presented as those manufacturers statements rather than a direct finding by Toyota. Toyota itself did not provide a specific explanation for the regions sharp decline in sales.