Geely Automobile News According to the report of the Japan Broadcasting Association (NHK) on August 21, with the termination of the auto consumption subsidy policy of the Japanese government in September, Japanese car sales will begin to decline, and it is expected that the second half fiscal year (October 2010 to March 2011) Japan's domestic car sales will fall by 23% year-on-year.
The Japan Broadcasting Association quoted the Japan Automobile Dealers Association as saying that it expects domestic sales of cars to be around 2.09 million in the second half of the fiscal year.
The report also stated that since the Japanese government introduced the auto consumption subsidy policy in April 2009, the policy has stimulated a total of 1 million automobile consumption.
Affected by the termination of the subsidy policy and the reduction in the export volume of automobiles brought about by the continued rise in the exchange rate of Japanese yen, Japanese domestic auto makers (such as Toyota Motor, Nissan Motors, and Honda Automobile) have recently stated that they will reduce the production capacity of Japanese domestic factories. Among them, Honda plans to reduce its production capacity at its domestic plants in Japan by 4% in October; Nissan may reduce the capacity of its domestic factories in Japan by 20% in October; and Toyota plans to reduce the annual production capacity of Japanese factories to the current 70%, to increase its production capacity in factories in China, Brazil and the United States.
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