Toyota Raises Full-Year Profit Forecast Despite $9 Billion U.S. Tariff Impact

Toyota Motor Corp. lifted its annual operating profit forecast to a record 4.5 trillion yen ($30.3 billion), shrugging off a 1.45 trillion yen tariff hit from new U.S. import duties. The upward revision comes despite a second consecutive quarterly decline in operating income, which fell short of analyst estimates at 834 billion yen for the September quarter.

Revenue climbed 4.7% to 12.38 trillion yen, outperforming expectations, as robust demand in Japan and North America offset trade headwinds. "Our product competitiveness continues to drive sales growth even in this challenging tariff environment," the company stated, noting particular strength in Core markets.

The automaker faces ongoing pressure from U.S. trade policies, with Japanese vehicle exports to America plunging 24.2% in September following August's 28.4% drop. While July's bilateral agreement reduced proposed tariffs from 25% to 15%, the levies continue weighing on trans-Pacific shipments.