Customer Logins
Obtain the data you need to make the most informed decisions by accessing our extensive portfolio of information, analytics, and expertise. Sign in to the product or service center of your choice.
Customer LoginsSame-Day Analysis: Japan's key automakers announce 2015 global production figures, overseas output rises
Suzuki, Honda, Nissan, Mazda, and Fuji Heavy Industries all recorded gains in their global production volumes during 2015, but Mitsubishi reported a 3.4% year-on-year decline.
IHS Automotive Perspective
- Significance: Japanese automakers including Suzuki, Honda, Nissan, Mazda, and Fuji Heavy Industries announced gains in their global production volumes for 2015, but Mitsubishi reported a 3.4% year-on-year (y/y) decline. Most Japanese automakers' domestic production declined during 2015 in line with weak market conditions, whereas their overseas production jumped, helping to lift global output. Mazda was an exception to this trend as it reported a domestic production increase of 4.1% y/y during the year thanks to increased output of key models.
- Implications: As domestic sales remained sluggish during much of 2015, the global production growth at Japan's key automakers during the year stemmed from robust overseas output, spurred by strong demand in markets such as the United States.
- Outlook: According to IHS Automotive data, total vehicle production in Japan is expected to grow to over 9.26 million units in 2016, which would represent an increase of 2.3% y/y.
Japan's key automakers, including Suzuki, Honda, Mazda, Nissan, Mitsubishi, and Fuji Heavy Industries (FHI), announced their worldwide production figures for 2015 yesterday (27 January). Except Mitsubishi, these automakers all recorded global production growth last year.
Honda's global production in 2015 rose 0.7% year on year (y/y) to a record 4,543,838 units, with its domestic output declining 23.8% y/y to 730,493 units and its overseas output rising 7.2% y/y to 3,813,345 units, also a new record. A breakdown of Honda's overseas output last year shows that it achieved a new production record of 1,862,491 units in North America, up 3.1% y/y. Honda also posted record output of 1,660,561 units in Asia (excluding Japan) last year, driven mainly by China, where it produced an all-time high of 960,913 units, a 12.2% y/y jump. Honda's European output in 2015 declined 0.9% y/y to just 118,897 units. Combined production in all other regions increased 17.5% y/y to 171,396 units last year. Honda exported 67,466 vehicles from Japan last year, a 115.9% y/y increase.
Nissan's global production in 2015 increased 1.4% y/y to 5,170,056 units, a calendar-year record. Its production in Japan declined 0.9% y/y to 872,831 units, while its overseas output increased 1.9% y/y to 4,297,225 units, also a record high. By country, Nissan's US production jumped 1.6% y/y last year to 962,258 units, marking a record high for a calendar year; in Mexico, its production surged 2.1% to 822,905 units, also a calendar-year record; in the United Kingdom, production decreased 4.7% to 476,589 units; in Spain, production declined 25.8% to 104,684 units; and in China, production increased 2.6% to 1,206,168 units. Combined production in all other countries increased 12.1% to 724,621 units. Nissan's exports from Japan during 2015 grew 9.7% to 518,631 units, the first increase in four years.
FHI manufacturer of the Subaru brand of vehicles, said that its global output in 2015 reached a record 938,553 units, up 5.6% y/y. The automaker's domestic output rose for the fourth straight year, to an all-time high of 709,749 units, up 2% y/y, while its overseas output rose 18.5% y/y to 228,804 units. FHI shipped a record 566,876 vehicles from Japan last year, a 4.7% jump, mainly on the back of strong demand for the Outback in Europe, Australia, and China, as well as the Impreza and Crosstrek in North America.
Mazda's global production totalled 1,543,589 units in 2015, up 16.2% from the previous year, with its domestic output decreasing 4.1% y/y to 972,237 units and its overseas output rising 45% to 571,352 units. Total exports increased 1.6% y/y to 773,636 units, mainly due to increased shipments of its key CX-5, Mazda3, and Mazda6 models to the Oceania and other regions.
Suzuki's global production in 2015 increased marginally by 0.6% y/y to 3,034,081 units during 2015, a record high. Its production in Japan slumped 11.5% y/y to 937,568 units, while its overseas output increased 7.1% y/y to 2,096,513 units, also a record high. Overseas output reached record levels thanks to increased production in countries including India, Pakistan, and Hungary. Suzuki's overall exports decreased 15.2% y/y in 2015 owing to reduced shipments to areas including Latin America, Southeast Asia, and Europe.
Meanwhile, Mitsubishi's global production totalled 1,218,853 units in 2015, down 3.4% from the previous year, with its domestic output decreasing 0.9% y/y to 635,441 units and its overseas output declining 6.1% y/y to 583,412 units. Total exports increased 12.8% y/y to 418,129 units, mainly due to increased shipments to regions such as North America and Europe.
Outlook and implications
The biggest domestic producer, Toyota (including Daihatsu and Hino), also announced its global output figures earlier this week, revealing that it produced 10.08 million units in 2015, down 2.0% y/y. Of this total, its overall domestic production declined 4.2% y/y to 4.03 million units, while its overseas production edged down by 0.4% y/y to 6.04 million units, the first decline in four years, due to decreased production by the Daihatsu brand in Indonesia. However, the Toyota brand produced record-high volumes overseas thanks to increased production in North America, Latin America, Europe, and Australia.
As was the case for the Toyota brand, record global production at Suzuki, Nissan, and Honda in 2015 stemmed from robust demand for their vehicles in automotive markets such as North America and Asia. Mazda and Subaru also recorded overall global production growth last year along with an increase in domestic production, mainly on the back of strong demand for models such as the Outback, the Mazda3, the Mazda6, and the Mazda2.
Sales of the key Japanese automakers have been dealt two blows since 2014 in their home market. The Japanese government first raised consumption tax from 5% to 8% in April 2014 and then introduced a 50% rise in ownership tax for minivehicles in April 2015, severely damaging the minivehicle segment. However, the postponement of a further increase in consumption tax to 10% from the current 8% until April 2017 rather than the originally expected October 2015 is set to help the Japanese market, at least prior to April 2017. This declining trend for Japanese demand hurt automakers' domestic sales, and therefore domestic production. Japanese automakers have thus been relying on the resurgent North American automotive market. This is especially true of Toyota, Honda, and Nissan, which have strong footprints in this region and are planning to expand further. According to IHS Automotive production data, total vehicle output in Japan is expected to grow to over 9.26 million units in 2016, which would represent an increase of 2.3% y/y.
About this article
The above article is from IHS Automotive Same-Day Analysis of automotive news, events and trends, and is a deliverable of the World Markets Automotive Service. The service averages 30 stories per day and also provides competitor and country intelligence. Get a free trial.