NADA 2019: Toyota Promises Dealers More Utility Vehicles, Plans to Ignore EVs
“We’re still committed to being a full-line manufacturer,” Hollis told Automotive News in a brief interview after his speech. However, while the company’s fleshed-out lineup will include some new hybrids before 2022 (including the Corolla and Prius AWD-e), it plans to wait on battery-only models. “The equations around electric aren’t making money,” he explained.
Hollis also said that the brand is on a mission to improve dealership profitability, which he described as roughly even when comparing last year to 2017. He believes 2018 will end up being among the brand’s top 5 years for dealership profitability, once everything is tabulated.
Automotive News claims Toyota is among the most-liked brands in the industry, which rings true. We recently examined Cox Automotive’s assessment of which company’s dealers scored the highest and Toyota bested every mainstream manufacturer, losing to Ford only because of its superior “geographic consistency” in the United States. Its dealership network is also consistently profitable, which gives participants little reason to slight the brand. Customers also hold Toyota in high regard, largely due to its reputation for superior reliability.
Toyota seems confident going into 2019, with Hollis’ only major concerns being the uncertainties surrounding global trade. But that’s nothing new. In December, Jim Lentz, chief executive officer of Toyota Motor North America, said the U.S. proposal to place a 25 percent tariff on imported cars would elevate vehicle prices and undercut sales. He expressed his hope that President Trump decides against any new industry-harming tariffs.