Toyota Sees Best October in Seven Years

Toyota sold 180,580 vehicles in the U.S. last month, good for a 6.9% increase on a daily-selling rate basis and the automaker’s best U.S. volume in the month since October 2007.

“October was another excellent month for the auto industry,” Bill Fay, Toyota Div. group vice president, tells media in a Nov. 3 call.

Fay cites stable economic conditions such as rising consumer confidence and falling gas prices for the good result for Toyota and most of the U.S. auto industry.

Unlike in recent months, the increase in Toyota Div. sales was higher than that at Lexus.

Toyota sold 157,225 units, up 7.5% vs. year-ago, led by strong results from the RAV4 and Highlander CUVs, and the entire light-truck category, which rose 12.6%.

The midsize RAV4 bolstered its lead as the best-selling Toyota CUV, with 21,524 units last month, compared with 17,590 in like-2013, a 22.4% increase.

The larger Highlander CUV saw an even bigger jump, up 29.9% to 12,106 units.

However, the low-volume 4Runner SUV bested both models, rising 38.1% from year-ago. The 4Runner is up 47.2% for the year. Fay credits its strength to a refreshing last year and a previous supply shortage of the similarly sized unibody Highlander.

All other Toyota light trucks gained in October save for the Venza CUV, Tundra large pickup and Sequoia and Land Cruiser large SUVs.

The new ’15 Camry helped boost that model 13.8% above year-ago to 33,164 units. However, Fay notes 80% of Camrys sold last month were ’14 models. He expects the inventory mix to even out in November and for the ’15 model to dominate stocks in December.

The Corolla compact car also was in the black (5.6%), as was the Avalon large sedan (2.5%).

But the poor performance of the Scion lineup, which registered losses across the board, and continued weak sales of the Prius lineup, down 13.5%, put Toyota car sales just 3.2% above October 2013.

WardsAuto data shows the low-volume Prius plug-in hybrid suffered the heftiest drop, down 77.1%, but the higher-volume liftback and V wagon’s decline of 6.2% likely was more impactful.

Sales of the Prius C compact car rose 5.2%.

While much of the nation saw gas prices of $3 or less per gallon in October, Fay says falling fuel prices have affected the Prius all year.

Lexus sales rose 2.8% to 23,355 units, the lowest increase for the brand this year, WardsAuto data shows.

However, the brand enjoys the biggest increase among luxury makes this year, up 14.3% through October to 244,038 units.

The refreshed-but-low-volume CT 200h continues to perform well, with the hybrid hatchback boasting the biggest increase among any rising Lexus last month, up 37.5% to 1,158 units.

The midsize IS and mid-large GS cars each rose 5.6% from October 2013.

Lexus’ top-selling car, the ES, saw deliveries slip 1.1% while the aging LS large luxury sedan lost 26.3% of its year-ago volume.

Lexus’ best-seller again was the RX, which posted a 1.0% increase vs. year-ago.

The remainder of the brand’s light-truck lineup had mixed results. The GX continues to show strength after a refresh and grade rejiggering, and was up 29.2% last month. Sales of the LX large SUV fell 25.9%.

Lexus is launching two new model lines this fall: the RC/RC F coupes this month and the NX small CUV in December.

With all models in the red to varying degrees, Scion sales fell 15.3% in the U.S. in October.

The iQ minicar fell the most, down 51.6%, while the xB was flat with a 0.8% drop.

Scion is expected to announce a plan for its future at this month’s Los Angeles auto show and unveil a concept, the iM, which is widely expected to evolve into a production version of the European Toyota Auris compact.

As for the remainder of the year, Fay is hopeful Toyota will end it on a high note.

“Looking ahead we’re anticipating a strong holiday selling season (aided by) stable interest rates and (low) gas prices,” he says.

Both Toyota and Lexus will launch their annual holiday sales programs the week of Thanksgiving, with competitive leases and interest rates.

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