Japanese Automakers Post Strong April Sales Numbers, Korean Automakers See Sales Dip

by Joseph Szczesny | May 1, 2024

The expanding popularity of electrified vehicles, particularly hybrids, continues to help boost sales of new vehicles amid growing signs consumers are switching to smaller, more affordable vehicles in the face of rising prices and the highest interest rates in nearly a quarter of a century.

Toyota continued its impressive sales growth for the month of April

The month of April continued to be a strong month for car sales with Toyota, Honda, and Subaru posting another strong showing for the Japanese auto industry amid concerns that the economy was faltering and that consumer confidence is slipping. Meanwhile, Hyundai, Kia, and Genesis saw their sales dip during the same time period.

However, EVs continue to play a key role in the broader sales forecast for automakers and Kia in particular is hoping that a swift transition to EVs like the recently launched EV9 SUV and the EV6 will help produce long-term gains.

Japanese automakers maintain strong sales growth

Models like the Acura ZDX and Honda CR-V continue to bolster Honda’s sales numbers

Toyota, Honda, and Subaru all posted healthy sales increases during April as Japanese brands continued to show strength even as concern about faltering sales grew as signs the economy in general was beginning to slow.

“Despite high interest rates and elevated vehicle prices, consumers remain resilient. Sales growth may be sluggish, but growth continues,” said Cox Automotive Senior Economist Charlie Chesbrough, who noted interest rates on car loans are at a 24-year high.

“And we expect these conditions to persist throughout the year,” he said.

Meanwhile, among the company’s reporting monthly sale totals, Toyota Motor North America said deliveries for April 2024 U.S. came to 211,818 vehicles, an increase of 13.7% on a volume basis. Sales of Toyota brand vehicles for the month totaled 183,339 vehicles, up 15.2% on a volume basis. Lexus Division sales for the month totaled 28,479 vehicles – a best-ever April – up 4.8% on a volume basis. Additionally, TMNA’s April 2024 U.S. electrified sales totaled 77,228 vehicles – a best-ever April – up 55.9% on a volume basis, representing 36.5% of total sales volume for the month, compared to 26.6% during April of 2023. Toyota Division’s electrified sales represented 36.1% of total sales volume for the month, Lexus Division’s electrified sales represented 38.7% of total sales volume for the month of April.

Honda brand sales increased 15.7% year-over-year as sales topped 100,000 units for the third straight month. Honda electrified sales exceeded 21,000 units with CR-V hybrid and Accord hybrid achieving 46% and 51% of the model mix respectively CR-V sales top 30,000 units for a third straight month and sales of the Honda HR-V sales increased by 45%, topping 13,000 units for its second best month of the year. The trend towards small is better also boosted sales of the Honda Civic by 35% year-over-year as sales topped 34,000 units. However, sales of the Acura brand slipped 4.5% even though sales of the Acura RDX increased by double digits. The first all-electric model from Acura, the 2024 ZDX and ZDX Type S begin arriving at dealers this month.

Subaru of America, Inc. (SOA) today reported 55,863 vehicle sales for April 2024, a 9.5% increase compared with April 2023. SOA also reported year-to-date sales of 208,859, a 7.4% increase compared with the same period in 2023, underscoring the continuing improvement in the market. Jeff Walters, President and Chief Operating Officer, Subaru of America, Inc. noted, “April marked another consecutive month of strong sales.

Korean automakers stumble in their April sales reports

Hyundai, Kia, and Genesis saw their sales numbers dip for the month of April

Sales by Genesis, the South Korean luxury brand, dipped by slightly in April, but EVs accounted for more than 12% of the brand’s total sales last month.

Sales by Kia also dipped by 3.6% in April. The drop in Kia sales was offset by a surge in sales of its EVs, Kia officials said.

“The impressive sales momentum generated by Kia’s EV and electrified models in the first quarter continued to accelerate in April with best-ever EV and SUV performances,” said Eric Watson, vice president, sales operations, Kia America. “With the new Sorento now in showrooms and refreshed Carnival and K5 models arriving later this summer, Kia continues to capture new customers and retain brand loyalists by offering consumers world-class ICE, hybrid, plug-in hybrid, and fully electric choices.”

Hyundai sales dropped 3% to 68,603 in April, following two consecutive monthly gains, with the brand’s three top sellers posting double-digit declines: Tucson, off 16%; Santa Fe, down 11%; and Elantra, off 24%.