The Japanese car market fell to its lowest level in over three decades last year, as diminishing wage growth, rising petrol prices and a falling population combined to hit demand.

Data from the Japanese Automobile Dealers Association (JADA) showed a 7.6 per cent dip in sales of new cars, trucks and buses - the fourth consecutive year on year decline.

This took sales to 3,433,829 units - the lowest number of vehicles sold for 35 years, according to the industry group.

The marque posting the largest sales decline was Daihatsu where sales dropped by 50 per cent, followed by Nissan which was hit by a drop of nine per cent.

Meanwhile, the world's second-largest automobile manufacturer Toyota's domestic sales were down six per cent, despite an upturn in sales of its Lexus marque.

News of the figures from JADA comes after a separate report from the Japanese Automobile Manufacturers Association pegged its domestic sales forecast for 2008 at 3,427 million vehicles.

This represents a decline of 0.2 per cent from sales recorded by the group in 2007.

Source:

Japan's auto sales at 35-year low, 08/01/08
http://news.bbc.co.uk/1/hi/business/7175293.stm

Japan's Domestic Auto Sales Hit Low, 08/01/08
http://ap.google.com/article/ALeqM5i46ecj3w6Iu4gyiBVWyZI9EdVb9QD8U0VIBG0

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