German automakers sitting pretty in Toyota, Honda's home turf

Poor Toyota and Honda. While the two are struggling to capture the hearts, minds and euros of Europeans, the Japanese juggernauts are also having a hard time establishing their own luxury brands in the Japanese Domestic Market against the likes of German automakers BMW and M-B. The German pair have dominated the Japanese high-end car segment for years and both saw a growth in Japanese sales of their vehicles during 2005.

(More after the jump)

[Source: Agence France-Presse via]
Worse, the Deutschland automakers see Lexus, Acura and possibly Infiniti’s entry into the marketplace ( Nissan launched the Fuga luxury brand in 2004) as an opportunity. According to Setsuya Ito, spokesperson for DaimlerChrysler Japan, “Lexus brought us a big business chance. With the entrance of Lexus into Japan, the luxury car market could move into the limelight with more customers becoming aware of our cars as one of their options.”

Analysts point out that the competition has barely begun. With Lexus, for example, still new to the market,  analysts don’t count on the Germans to necessarily maintain their dominance in the future.

Share This Photo X