Toyota Hopes To Reduce Losses With China Sales

ANALYST TAKE: Toshiro Yoshinaga, analyst with Aizawa Securities Co. in Tokyo, warns Toyota will likely remain in the red for the fiscal year because of the global slump. But he credits Toyoda for bringing the ranks together for speedier decision-making, including a key push on electric vehicles. "Up to now, Toyota was a winner in gasoline engine cars. It was also a winner in advanced gasoline cars called hybrids," he said. "Now under Toyoda's policy, it can hope to be a winner in electric cars." Toyota is promising electric vehicles by 2012.

WHAT'S AHEAD: A big unknown hanging over Toyota is the U.S. investigation into faulty floor mats. Toyota is counting on its strength in hybrid technology, and recently introduced another hybrid-only model called Sai for the Japanese market. Besides pushing a green image, the company is also aggressively planning new sportscars, such as the super-expensive Lexus LFA and the more affordable Toyota FT-86. Such offerings underline Toyota's ambitions to become a global premium brand. Also critical are efforts to offset sluggish North American sales by grabbing market share in China and other growth markets.

STOCK PERFORMANCE: Toyota shares were down 2.5 percent at 3,570 yen Monday in Tokyo. They slipped to 2,000 yen ($22) levels earlier this year but have since gradually recovered.

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