Akio Toyoda to visit Beijing today for press conference to explain recalls

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Akio Toyoda, the president and CEO of Toyota is flying to Beijing today after his Senate grilling in the USA to explain his companies recalls to a Chinese audience. Toyota China have been forced to recall over 75,000 RAV4′s in China, as well as another vast number of Chinese made Toyota’s due to quality issues over the past 12 months.

Mr. Toyoda is expected to express the same message that he delivered to the USA, an outflowing of personal anguish and also a promise to prioritize the safety aspect of Toyota cars over growth. Although the number of recalls of Toyota cars in China remains small compared to the no of recalls in European and American markets.

The Chinese market is still small for Toyota, with sales of over 700,000 vehicles last year compared to Toyota USA sales of over 1.5 million cars. However, sales for Toyota China grew by 20% in 2009 and it is clearly a market that has further growth ahead of it if managed properly.

February is usually a slow month for auto sales due to the Chinese New Year celebrations which have the dealerships shut down for around 3 to 5 days whilst staff return home for the holidays, March is usually a busy year for dealerships when the weather improves and consumers are more willing to go out car shopping. Akio Toyoda’s visit to China could settle consumers nerves ahead of a busy year for Toyota China which is split between partners in the North East of China at First Automobile Works and Southern China where Guangzhou-Toyota produces cars.