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Toyota Prius sales could come up short in 2013

A Toyota executive has said that the automaker's hybrid Prius model may not reach its 2013 goal of selling 250,000 units in the US marketplace. Bill Fay, group vice president for Toyota's US sales, told Reuters, "The 240,000 to 250,000 range is kind of where we're settling our sights for the Prius family."
The first-generation Prius, a five-passenger model, was introduced to the States in 2001 (its arrival made it the second mass-produced hybrid, after the two-seat Honda Insight). The second-generation model arrived in 2004, followed by the current third-generation design that arrived for the 2010 model year. The automaker has subsequently added the Prius V, a hatchback wagon (shown above) and the Prius C, a subcompact hatchback. As of March, 2013, cumulative worldwide sales of the Prius had reached 3.67 million units.
Last year, Toyota sold 236,659 Prius models in the US. However, sales of the model have fallen 5.1 percent in the first six months of 2013. In response, the automaker has boosted its marketing for the model, and the promotions are expected to continue through at least July.

Subprime financing on the rise in new car sales, leasing too

We all remember the financial crisis that began several years back. At its core was a splurge of subprime lending for housing loans. The housing bubble burst, triggering a collapse of the mortgage-backed securities market. Apparently, those types of loans still exist in the automotive industry, and the market share for these types of "nonprime, subprime, and deep subprime," loans has grown 13.6 percent compared to the third quarter a year ago.
According to an Automotive News report, high-risk lending expanded to 24.8 percent of total loans in Q3, up from 21.9 percent for this time last year. As this level increased, average credit scores of borrowers dropped to 755, down from 763 a year ago. In that time, the average financing amount increased $90 per vehicle, to $25,963.
At 818, Volvo maintains the highest per-owner credit score, while Mitsubishi has the lowest, at 694. The highest rate of borrowers was at Toyota, with 14 percent of the market, followed by Ford with 13.1 percent and Chevrolet at 11.1.

Lexus eschews production in China over quality concerns

One of the more popular trends in the auto industry is setting up production operations in China. Mainstream manufacturers like Ford, General Motors and Volkswagen have done it, and even luxury marques like Audi, BMW and Mercedes-Benz have or will soon have manufacturing ops in the People's Republic.
One company that isn't building cars in China, though, is Lexus. The Toyota-owned luxury brand still manufactures all of its vehicles in Japan (aside from a few RXs, which are built at a Toyota factory in Canada). According to Tokuo Fukuichi, Lexus just isn't ready to build cars there yet.
"The German Three have a brand image that they have cultivated over the past century in their long history, but Lexus is not in people's minds like that yet," Fukuichi-san told Reuters UK.