I Think This Is Toyota's Kodak Moment That Killed The Company, Unless Toyota Does Something Really Big With EVs

Toyota is Japan’s largest automaker and it is struggling as low-priced Chinese EV makers, like BYD, continue gaining an edge. Toyota’s global output fell for the first time in four years in the first half of 2024. Its worldwide output also dropped for 8th straight month in September. Now my question: is the company’s slow shift to EVs to blame?

I read a comment on Facebook in which Mike McKeown compares Toyota with Kodak. Remember Kodak and film? Kodak spent years arguing film (like the legacy) was better than digital photography (the new EV market). And while it was the case at the start, digital soon caught up and eventually overtook film. The market transition killed Kodak because they were the incumbent, resistant to change laggard. "The ICE to EV transition with Toyota is shaping up the same way," writes McKeown. 

I hope Toyota doesn't say "No one saw this coming." The company most vehemently opposed EVs and insisted that hybrids and hydrogen cars are the future.

On a brighter note,  Toyota and Suzuki are joining forces to build electric cars. Suzuki will make an all-electric SUV for Toyota starting in 2025. This new electric car will be made in India and sold around the world. It will be Toyota's first fully electric SUV. This partnership is a big step for both companies as they work to compete with other carmakers who are also making electric vehicles.

Follow me on Telegram for more EV news and also don't miss my previous article about Toyota at Torque News, titled "I Am Reluctant To Give Up My 2004 Toyota RAV4 With 200,000 Miles, But I Have Two Complaints."

Armen Hareyan is the founder and the Editor in Chief of Torque News. He founded TorqueNews.com in 2010, which since then has been publishing expert news and analysis about the automotive industry. He can be reached at Torque News Twitter, Facebook, Linkedin, and Youtube. He has more than a decade of expertise in the automotive industry with a special interest in Tesla and electric vehicles.