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Toyota’s luxury brand Lexus executives recently stated that they are still cautious about the production of products in China and have not yet formally considered related issues; at the same time, the brand’s global sales volume is expected to record a new high this year, surpassing the record set in 2007.
It is expected to exceed this record again this year
Reuters reported recently that from the middle of November 2012, the exchange rate of the yen against the U.S. dollar has fallen by about 20%. For the Lexus, where 80% of cars are produced in Japan and 90% of which are exported overseas, the yen has depreciated sharply. Will help its sales growth.
Mark Templin, Lexus’s vice president of international operations, said that Lexus’s highest annual sales to date have occurred in 2007, selling 518,200 cars worldwide, and “this year will be a good opportunity (achieve to exceed). Lexus can be an important contributor to the overall profitability of Toyota Motor."
Lexus has occupied the throne of America's best-selling luxury car for more than ten years. The global financial crisis in 2008 dragged down Lexus’ global sales. The higher exchange rate of the yen affected exports. By 2011, the super earthquake and tsunami had a negative effect on the output of Lexus in Japan. Lexus began to give the luxury American car sales crown to BMW.
However, sales of Lexus are gradually recovering. In 2012, Lexus' global sales increased by 18% year-on-year to 476,500 units.
In April of this year, Toyoda CEO Toyota Akio took charge of the Lexus brand and provided him with more room for design and marketing. According to Koichi Sugimoto, an auto analyst at the People’s Bank of Paris, Lexus’ operating profit rate last year was around 5%, and this fiscal year (April 1, 2013 to March 31, 2014) improved drastically to 20%, compared to 2012 competitors. BMW's profit margin is 10.8%.
Has not yet discussed production in China
"The Wall Street Journal" quoted Templin's remarks that Lexus still waits and sees production in China. Although many luxury brand competitors are currently competing to expand or put into production in China, it will take time for Lexus to transfer production capacity to China. .
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