Toyota EV Sales Surge 127% Amid China Market Decline
Toyota's global battery electric vehicle sales jumped 127.4% through September 2026, but a steep 18.9% sales drop in China contributed to a third consecutive month of overall global sales decline.
Toyota sold 309,766 battery electric vehicles globally through September 2026, a 127.4% increase from the same period in 2025. Despite this EV sales growth, the company's total global vehicle sales fell 3.4% year-on-year to 7.51 million units. September 2026 marked Toyota's third consecutive month of declining worldwide sales, with 860,107 vehicles sold representing a 2.2% drop from the previous September.
Toyota's sales in China fell 18.9% to just over 1.05 million vehicles during the same nine-month period. This contributed significantly to the global downturn. The Chinese market has now seen eight consecutive months of declining Toyota sales, with demand for gasoline and hybrid vehicles being particularly affected. For the first time in this period, Toyota's home market sales in Japan, at 1.19 million units, exceeded its sales in China.
China Market Challenges
Despite the global EV momentum, Toyota faces significant sales declines in its key Chinese market. The nearly 20% drop in China through September 2026 was a primary driver of the company's lower global sales totals. The challenge is not unique to Toyota. Volkswagen Group, for instance, reported a 38% drop in its China sales to 405,800 units in the third quarter of 2026. In response to these market pressures, Volkswagen has announced plans to use China-developed technology for its next-generation electric vehicles.
New Model Expansion
Toyota is aggressively expanding its electric vehicle lineup with multiple new models. The company added several new electric offerings including the C-HR+, bZ4X Touring, Urban Cruiser, and an electric version of the Lexus ES. Its joint ventures in China, GAC Toyota and FAW Toyota, sell electric models including the bZ3, bZ3X, bZ5, and bZ7. Both the Toyota and Lexus brands are preparing to introduce three-row electric SUVs for future sale.
| Model Type | Examples of New Models |
|---|---|
| Global Toyota EVs | C-HR+, bZ4X Touring, Urban Cruiser |
| China Joint Venture EVs | bZ3, bZ3X, bZ5, bZ7 |
| Lexus EVs | ES EV, upcoming three-row SUV |
The Toyota bZ4X ranked 20th among the world's best-selling electric vehicles from January through August 2026, with nearly 100,000 units sold. Except for January, Toyota's EV sales more than doubled every month in 2026 compared to the same months in 2025, beginning with an 87.5% year-over-year increase in January.
Looking ahead, Toyota plans to build a new Lexus electric SUV in China, rather than in Japan as it has traditionally. Production is scheduled to start at a Shanghai plant next autumn. The new Lexus EV will use gigacasting technology to reduce costs and speed up production.
