Japan Auto Production -31% in May. Export Loses $2.89 Billion

The Japan Automobile Manufacturers Association announced this morning in Tokyo that domestic production of automobiles totaled 489,723 units in May 2011, compared with the 709,113 units total for May 2010, a decrease of 219,390 units or 31%. This marked a production decrease on the same month of the previous year for eight consecutive months, a trend that started well before the Japan earthquake in March when government incentives to purchase new vehicles expired last year.

Automobile exports in May 2011 were 202,833 units. Compared with the 340,721 units for the same month of the previous year, this is a decrease of 137,888 units or 41%. This represents the an export decrease on the same month of the previous year for three consecutive months, consistent with the production disruptions that resulted in March of this year.

The total value of automobiles exported for May 2011 was $6.76 billion, including $4.49 billion for vehicles and $2.27 billion for parts. This is a decrease of $2.89 billion or -30% compared with $9.65 billion for the same month of the previous year.

Domestic auto sales in May 2011 stood at 237,364 vehicles, down 33.4% as compared with the same month of the previous year.