Toyota maintained its title as the world’s top-selling automaker, with nearly 11 million vehicles sold in 2024. However, EV sales accounted for about 1% of Toyota’s global volume as it continued to lag the industry. With rivals like BYD and Hyundai closing in, how long can Toyota keep its spot at the top?
Toyota EV sales continued lagging in 2024 at only 1%
Toyota held onto the title for the fifth straight year after selling over 10.8 million vehicles in 2024. That includes its Daihatsu (compact cars), Hino (heavy-duty trucks and buses), and luxury Lexus brands.
Although it was enough to stay ahead of Volkswagen, which sold just over 9 million vehicles last year (-2.3% from 2023), Toyota’s global sales slipped for the first time in two years. The Japanese auto giant’s sales fell 3.7% from the roughly 11.2 million vehicles sold in 2023.
Toyota and Lexus brand sales were down 1.4% from 2023, at about 10.1 million units, also the first year-over-year decline in two years.
The lower total was mostly due to a 20% drop in domestic sales. Incorrect vehicle certifications caused Toyota to halt production of the popular Prius, Yaris Cross, and Corolla Fielder models.
Overseas sales helped offset the fallout with higher demand in North America and India. In other key markets, like China (-6.9%), Indonesia (-9.5%), and Thailand (-17.1%), Toyota said “the shift to new energy vehicles” and an “intensifying price competition” caused the lower sales total.
Despite hybrids reaching a record 40% share in 2024, Toyota’s EV sales lagged the industry. Last year, Toyota, including Lexus, sold just 139,892 pure EV models, accounting for just 1.4% of sales.
Volkswagen sold nearly 745,000 electric vehicles last year, or around 8% of sales, which is still on the lower end. And that’s down 3.4% from the 771,100 VW delivered in 2023.
While the two global auto leaders continue to lag in the shift to electric vehicles, others, such as BYD and Hyundai, are emerging as true global threats.
BYD outsold Nissan and Honda for the first time last year, with over 4.25 million passenger vehicles sold, up 41% from around 3 million in 2023. The Chinese EV leader surpassed Volkswagen in 2023 to become China’s largest car maker, and now it’s moving up the global ranks.
Hyundai Motor Group, the third top-selling automaker globally, sold over 7.2 million vehicles last year. Although sales were down 1% from 2023, Hyundai is closing the gap with Toyota and Volkswagen. The Hyundai and Kia brands both sold over 200,000 electric cars globally last year for an around.
Hyundai and Kia are launching several new EVs in key segments that are expected to see significant demand, including the three-row IONIQ 9 and low-cost Kia EV3 and Hyundai Inster SUVs.
Electrek’s Take
With new threats emerging, how long will Toyota hold onto the global sales lead? BYD is aggressively expanding overseas this year, with electric cars rolling out across nearly every segment, including entry-level pickup trucks, smart SUVs, luxury models, and electric supercars.
BYD sold more EVs in Japan than Toyota last year, its home market, and 2024 was BYD’s first full sales year in the country.
Hyundai is also preparing for a big year in 2025 with the updated 2025 IONIQ 5, IONIQ 9, and Inster EV arriving. Kia expects sales growth this year with the low-cost EV3 rolling out globally. Later this year, it will unveil the EV4, its highly anticipated entry-level electric sedan.
Meanwhile, Toyota continues delaying new EV launches and other major projects. Its long-awaited ultra-efficient EVs, expected next year, will not arrive until at least mid-2027.
With the industry moving toward all-electric vehicles, how long can Toyota delay the inevitable? As EV technology advances, hybrids will only be in style for much longer.