TOKYO: Toyota Motor Corp forecast a larger-than-expected 35 percent fall in annual profit Friday and warned that the strong yen was making it difficult to justify keeping production in Japan. Toyota forecast global sales would fall 1 percent to 7.24 million vehicles in the year to March. The figures include sales at truck maker Hino Motors Ltd and compact carmaker Daihatsu Motor Co. The drop is expected to place Toyota behind General Motors and possibly Volkswagen AG in the global vehicle sales rankings this year, and reflects a loss of share to smaller rivals such as South Korea's Hyundai Motor Co, which has been nipping at its heels for years. Toyota has struggled to restore output after a massive 9.0 earthquake in March rocked northeastern Japan and forced automakers to slash output. The ensuing nuclear disaster and power shortages have compounded their woes. The production disruption will likely see Toyota lose its title as the world's largest automaker this year.
