Toyota China '09 sales up 21% to 709,000 vehicles

Shanghai, January 6 (Gasgoo.com) Toyota Motor Corp said today that it sold 709,000 vehicles in China in 2009, up 21% from a year earlier, lagging rival General Motors' 67% increase (to 1.83 million units), Reuters reported.

Analysts attributed Toyota's slower growth to its lack of small cars whose sales have soared last year in China thanks to government tax incentives. GM and Volkswagen are major beneficiaries of the policy incentives favoring small cars, while Toyota's portfolio in China is not as broad.

However, Toyota's full-year sales marked a speed-up from 13% annual growth in the first nine months of 2009 and 17% growth in 2008. Masahiro Kato, president of Toyota's China operations, said in November that the Japanese automaker was expected to sell about 800,000 cars in China next year.

Earlier last year, Toyota rolled out revamped version of Vios and Yaris compact cars, both eligible for China's tax incentives. It also launched its RAV4 SUV produced by its venture with FAW Group in April 2009, followed by Highlander SUV made at Guangzhou Toyota, the next month.

Toyota's China sales in 2009 were mainly driven by its local produced Corolla sedan (by Tianjin FAW Toyota), Camry sedan (by Guangzhou Toyota), RAV4 SUV and Highlander SUV, the largest Japanese carmaker said in a statement.