TOKYO: New automobile sales in Japan rose for the second straight year in fiscal 2023 after COVID-19 supply chain disruptions subsided, though short of pre-pandemic levels of over five million units, industry data showed Monday.

Vehicle sales rose 3.3% in the fiscal year that ended Sunday from the previous year to 4,528,668 units, according to the data from the Japan Automobile Dealers Association and the Japan Light Motor Vehicle and Motorcycle Association.

Of the total, minivehicle sales slipped 4.0% to 1,625,481 units as those at Daihatsu Motor Co. plummeted by over 20% to 443,694 units due to a vehicle testing scandal.

Daihatsu suspended its domestic production in December. It has resumed production of models whose safety has been confirmed.

Suzuki Motor Corp.’s minivehicle sales expanded 7.0% to 552,251 units, giving the company the largest market share for the first time in 18 years.

Minivehicle sales in fiscal 2024 “may recover to levels similar to those in usual years if production of popular models resumes smoothly,” an official at the Japan Light Motor Vehicle and Motorcycle Association said.

In fiscal 2023, sales of larger vehicles climbed 7.8% to 2,903,187 units.

In March alone, overall new automobile sales plunged 21.1% from a year before to 451,444 units traced to the Daihatsu scandal.

JIJI Press