Which Is More Impressive? Toyota Out Earning VW OR Hyundai Beating Both GM and Ford COMBINED?

Which Is More Impressive? Toyota Out Earning VW OR Hyundai Beating Both GM and Ford COMBINED?
 Asia is the new and undisputed king of car-making profitability – thanks to the money-making prowess of Japan, Korea, China and India.

Most of the firms who enjoy profits of billions of dollars annually now hail from this region. Subaru boasted a profit figure of $2bn last year. Comparing like with like, TATA’s profit was $2.7bn, and Kia was just ahead of the Indian firm on $2.8bn.

Nissan ($4.3bn) was pipped by up-and-coming SAIC of China ($4.4bn), which already has Honda ($5.6bn) in its sights. And Hyundai has become the second most profitable car maker in Asia on $7.0bn – or $9.8bn if the profits of its adopted child Kia are included.

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MDarringerMDarringer - 5/29/2015 6:21:21 PM
+2 Boost
Toyota beating VW isn't the least bit surprising. VW builds a lot of cars but they do not make a lot of profit per car. Toyota pulls an astonishing number of cars worldwide off the basic Corolla platform. Whereas VW builds the CC, American Passat, and Euro Passat on three different platforms and it's that kind of dumb thinking that will bring about VW's implosion.

Hyundai/Kia is a powerhouse company. If anything Toyota should fear them much more than VW.


monstermonster - 5/30/2015 12:18:33 AM
+2 Boost
ISn't it the same for the dozens of different variant of Golf.


MDarringerMDarringer - 5/30/2015 9:23:29 AM
0 Boost
There are not dozens of variations of the Golf.


TomMTomM - 5/29/2015 7:30:23 PM
0 Boost
Neither

It is the currency exchange rates that are making non-usa companies who sell here much more profitable. And because the rates also make exports from here much less profitable - GM and FORD get hit. Even Mitsubishi - which should be bankrupt by now - is making a profit on the exchange rates.

Believe me - none of those foreign manufacturers are able to manipulate the exchange rates - so their profitability is not from their manufacturing efforts - it is currency manipulations.


mplsmpls - 5/30/2015 5:00:41 AM
+4 Boost

A B.S. argument , an apologist for GM you are..
The main Japanese automakers build their cars outside of Japan ie. USA and Europe with more local parts that what GM and Ford do. In fact Toyotas main market is the USA..


HughJassHughJass - 5/30/2015 10:09:03 AM
0 Boost
Japan wasn't bragging so much when the Yen was trading at 80 per USD instead of 120.
Also doesn't help that our retard President signs a FTA that removes duties and taxes on Korean cars while Seoul is allowed to keep tarriffs on our cars.

Currency does matter because if Japan/Korea are expected to report X amount of Yen/toilet paper at home, a weaker currency allows them to sell at lower US prices while still reporting the same domestic profit. Yes, Toyota employs alot of Americans but it doesn't change the fact they can sell at lower prices here as long as their currency is weak.

I would like to see how much free money and hidden protection these companies are given by their governments while our companies are basically left to compete against foreign governments who will spend any amount of $ to ensure their national champions win.


HughJassHughJass - 5/30/2015 10:10:27 AM
0 Boost
Unions make it difficult to side with domestic automakers so although we all know the Asians cheat, we also hate unions who think a high school education deserves more money than someone who earns a useful degree.


HughJassHughJass - 5/30/2015 10:25:13 AM
0 Boost
Must be nice to be able to increase incentives by 25% and still lose market share but report profit (albeit declining profit) because your government makes the Won worthless and lowers corporate taxes to help the balance sheet look better.

http://www.wsj.com/articles/hyundai-motors-profit-falls-again-1429767048

I don't see Jesus Obama devaluing the USD to help out Chevy and Ford. Dumb Americans would start to complain Walmart prices were going up due to a lower dollar.


jeffgalljeffgall - 5/30/2015 1:40:44 PM
-2 Boost
Last night my wife witnessed a Camry with a stuck accerator pedal narrowly miss hitting a handful of pedestrians. 2 years ago I witnessed a Siena with a stuck pedal barreling down the middle of a road right in front of an elementary school at drop off time, ultimately smashing into 4 cars. The fact that both of us have witnessed this is incredible. Guess this is how Toyota stays in the green. You will never catch me behind one. I'm just scared for the others out there on the street with me.


mplsmpls - 5/30/2015 5:30:40 PM
0 Boost
"Currency does matter because if Japan/Korea are expected to report X amount of Yen/toilet paper at home, a weaker currency allows them to sell at lower US prices while still reporting the same domestic profit. Yes, Toyota employs alot of Americans but it doesn't change the fact they can sell at lower prices here as long as their currency is weak. "

A false argument, if you need to compare Toyota with GM or Ford, then you have to compare like for like ie. in USD, now if GM and Ford lose out to Toyota when using USD valuaton in cars sold in USA, it says something doesn't it ? GM and Ford are not selling as much or are not as efficient as Toyota .. also remember Toyota are using more local sourced partds percentage than eitehr GM or Ford..
Now it doesn't matter if Toyota convert their earnings into Yen, Euri or whatever. If GM/Ford lose out to Toyota at the source i.e. USD. then again it says alot about GM/Ford..



mplsmpls - 5/30/2015 6:04:03 PM
+1 Boost
When the Yen was at 80yen to the dollar, it was dictated by US policy to have a strong Yen and thus weak dollar to stem the onslaught of Japanese domination in many industries at the time. By the tme the Yen fell to 80yen to dollar, alot of Japanese manufacturing had been transplanted overseas, hence the increase in overseas car manufacturing plants, where its main markets were.. alot of indutry in Japan had been hollowed out. except for the very highend, high value added industries where Japan stil had the lead.. In this climate we saw Japanese companies go on shopping spree in USA buying assets /companies at often inflated prices ( set by greedy Wall street guys)

This weak yen strong yen thing is a 2 way street CentralBank of Japan and the US Fe are involved.. however as in my last post the weak/Yen strong cannot apply to companies like Toyota because the majority of their cars they sell in USA are made in the USA..

if you re-read the article they are comparing dollar value of profits.

"Most of the firms who enjoy profits of billions of dollars annually now hail from this region. Subaru boasted a profit figure of $2bn last year. Comparing like with like, TATA’s profit was $2.7bn, and Kia was just ahead of the Indian firm on $2.8bn."

you cannot have it both ways either a string dollar so you sell more cars made in USA ( include GM, Ford, Toyota, Honda), so for Japan, Toyota gets less yen, but the fact remains in dollar terms GM/Ford did worse.. but in the current climate 124yen to dollar, Toyota gets more Yen, but the comparison was in dollars, so if GM/Ford don;t do as well in dollar terms then its back to the basics of what i said in my previous post. This currency argument is false.. Read the article properly !


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