A Toyota dealership is seen on November 19, 2025 in Austin, Texas.
Brandon Bell | Getty Photographs
Toyota Motor has retained its place because the world’s top-selling automaker in 2025, posting file gross sales of 10.5 million models, the Japanese auto large reported on Thursday.
Gross sales of Toyota and its luxurious Lexus marque rose 3.7% from a 12 months earlier, edging out Volkswagen Group’s 9 million models and Hyundai Motor Group’s 7.27 million models.
Notably, demand was buoyed by sturdy U.S. gross sales of hybrid autos, such because the Prius and RAV4 fashions.
Toyota’s energy within the U.S. got here regardless of an aggressive tariff regime rolled out by U.S. President Donald Trump, who initially imposed 25% levies on Japanese automotives, earlier than lowering them to fifteen%.
Within the U.S., Toyota and Lexus car gross sales climbed 7.3% to 2.93 million models.
The outcomes replicate success in Toyota’s technique of absorbing tariff-related prices somewhat than passing them on to customers by means of broad worth hikes, whereas specializing in native manufacturing and different price controls.
Whereas the corporate estimated in November that U.S. tariffs would nonetheless price it 1.45 trillion yen ($9.7 billion) in its fiscal 12 months ending March 2026, it additionally raised its full-year working revenue forecast, citing profitable price reductions and robust demand exterior the U.S.
Tariffs hit rival
In one other signal of demand for international automotives, Toyota rival Hyundai Motor reported international income development of over 6% in 2025 from a 12 months in the past, supported by sturdy hybrid gross sales within the U.S.
Nevertheless, its working revenue took successful from tariffs, falling 19.5% from the earlier 12 months, with U.S. levies costing the South Korean automaker 4.1 trillion gained.
South Korea and the U.S. agreed to a commerce deal final 12 months that lowered tariffs on most South Korean merchandise, together with automobiles, to fifteen% beginning in November.
Nevertheless, Trump on Monday threatened to boost the obligation again to 25%, saying that the nation’s legislature had not moved quick sufficient to implement the deal. Hyundai shares fell by practically 5% on the information.
Hyundai’s gross sales within the U.S. are extra reliant on imports, with the corporate saying in September that solely about 40% of U.S. gross sales have been produced domestically in 2025. The corporate hopes to ramp up native manufacturing at its Georgia services to over 80% by 2030.
Toyota — which relied on imports for less than about one-fifth of its U.S. gross sales — has additionally pursued aggressive U.S. manufacturing enlargement, specializing in hybrids.
Toyota Motor is scheduled to report its fiscal third-quarter earnings on Feb. 6. Analysts anticipate the agency’s working income to rebound practically 30% from the identical interval final 12 months, in response to estimates compiled by Reuters.
Shares of Toyota popped 3% in buying and selling on Thursday.
