The Japanese car market is witnessing a gradual recovery in the domestic used car segment, reaching 77% of pre-2019 levels following the “No Japan” boycott. Enka Dotcom’s recent analysis reveals insights into the resurgence, highlighting key brands and hybrid models driving the uptick.

Enka Dotcom’s findings, released on the 16th, shed light on the resurgence of the Japanese car market, particularly in the realm of used car transactions. Despite setbacks from the “No Japan” movement, major Japanese brands like Toyota and Lexus are spearheading the rebound, with transactions rebounding to 77.09% of pre-boycott levels.

In 2019, Japanese car brands faced a significant 24.13% decline in used car registrations compared to 2018, attributable to the fallout from the boycott. However, recent data indicates a turnaround, with Toyota and Lexus witnessing a notable increase in used car registrations, up by 8.38% and 1.96%, respectively, in 2023.

Notably, Toyota and Lexus have seen remarkable recoveries in used car sales, with figures reaching 97.40% of pre-boycott levels in 2018. Hybrid models from these brands, including the Lexus 7th generation ES300h and Toyota’s Prius and Camry Hybrid, have been instrumental in driving market growth. These hybrid vehicles experienced significant sales increases in 2023, contributing to the overall market recovery.

Conversely, Nissan and Infiniti, which exited the Korean market, witnessed declines in registered units and sales. Nissan saw a 15.29% decrease in registrations and a 15.78% decline in sales, while Infiniti experienced drops of 22% and 20.50%, respectively.

Despite fluctuations in brand performance, the Japanese used car market as a whole saw a modest 3.14% decrease in sales last year compared to the previous year. Enka Dotcom anticipates further recovery, fueled by the release of new models and the continued popularity of hybrid vehicles.

The resurgence of the Japanese car market in used car sales reflects a promising trend, with brands like Toyota and Lexus leading the charge. With hybrid models playing a pivotal role in driving growth, the industry remains optimistic about future prospects, buoyed by ongoing efforts to expand market presence and meet consumer demand.