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Last Updated: Monday, 3 September 2007, 11:11 GMT 12:11 UK
Japan car firms hit by sales fall
Toyota Camry
Toyota saw an upturn in sales
Japanese car sales fell in August amid a drop in demand, data from the Japan Automobile Dealers Association shows.

Overall sales were 1.9% lower compared with the time last year, while truck sales sank by a more dramatic 14.3%.

The drop continues a trend that has taken place for more than two years, as the shrinking population undermines demand and young people buy fewer cars.

Daihatsu experienced the biggest fall - with sales down 57% - followed by Honda where sales fell by 9.5%.

A car association official said the organisation had hoped for a rebound after weak sales in July, "but unfortunately that didn't pan out".

The figures exclude 660cc minivehicles.

The latest sales decrease follows a 9.7% drop in July, which came about after a temporary halt in vehicle production at Japanese factories.

Car firms were forced to shut down after a major firm that made parts was hit by an earthquake.

But on a positive note, the latest figures showed sales at Mitsubishi Motors climb 28.6% - the biggest rise.

Meanwhile Toyota, managed to reverse an 11-month downturn with a 2.5% rise in sales during August.


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