Automotive Division
With automotive assembly and wholesale and retail sales as its core businesses, the Automotive Division develops its operations in growing markets, such as Asia and Latin America, as well as in mature markets, such as Japan and the United States. In addition, this division is actively enhancing its auto-financing business while developing automotive-related services that meet the needs of the changing times.
Division Strategy
We will strengthen the functions in automobile sales as a core business, build business bases in new fields, and ultimately contribute to a prosperous mobility society.
Tatsuhiko Kanetake
Executive Officer, COO
Automotive Division
The Automotive Division has faced changes to the operating environment that have impacted a number of our businesses. Nevertheless, we have continued to rise to the challenge and overcome such adversity. Through structural reforms, we have continued to transform the division to become a more resilient organization. At the same time, we have engaged in a constant process of trial and error through actual fieldwork, thereby accumulating the knowledge that has served to increase our success rate in new businesses. These undertakings have strengthened our organization by driving the growth of our people and fostering a common sensibility among our team. The Automotive Division has earned praise for its fundamental characteristics, namely, its ability to quickly generate earnings by growing operations in areas where we boast expertise, a success story that has been shown to be reproducible.
Our growth strategies are founded on the keywords of “functions,” “distinctiveness,” and “transformation.” By strengthening our functions in relation to sales, financial services, and digital technologies, we look to develop distinctive businesses that set us apart from our competitors. At the same time, we will continue to transform our operations. I firmly believe that our successes thus far are a product of the teamwork we exercise in our daily endeavors, including the numerous verification tests in which we have taken part. We are now at the phase of boldly allocating resources to our ventures in our efforts to achieve massive results, and I am confident that we will realize our vision for the Automotive Division.
Strengths of the Division
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Track record of automobile
sales spanning over40 years
Locally based sales and marketing force
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More than
5,000
Group employees
at over 30 Group
companiesDiverse human resources and global business management know-how
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Capabilities of
investment
execution and business
developmentBusiness asset portfolio including new business areas
External Environment
Opportunities
- Increase in demand for automobiles due to economic development in emerging countries and diversification of needs in developed countries
- Paradigm shift in the automotive industry and changes to the existing industry structure
- Rising need for quality control due to globalization and supply chain diversification
Risks
- Market, financial, and economic stagnation and event risks such as natural disasters
- Political and regulatory changes in various countries and changes to the social environment caused by technological advancements
- Changes in global strategies of car makers
Global Operations
Business Map
Business Overview
■ Distributor Business
Sojitz is expanding its distributor business in growth markets including Asia and Latin America. We are bolstering our portfolio of South Korean- and Chinese-brand vehicles and expanding into the sale of Kia and Mazda vehicles in Panama. We have also entered into a multi-brand EV distributor business in Norway. We plan to develop operations for selling competitive automobile brands in promising markets boasting robust demand.
■ Dealership Business
We are expanding our authorized dealership business for premium brand vehicles, in which we anticipate stable demand in countries including Japan, the United States, and Brazil. In addition, we are working to strengthen used vehicle sales and after-sales services and to build a next-generation sales platform that utilizes the internet and digital technologies. We have also acquired a wholesale and retail used car business in Australia. We are promoting automobile sales to customers who are unable to receive a standard auto loan through financing operations that utilize fintech services.
■ Auto-Financing Business
Sojitz is developing the Autofinanciamiento business in Mexico. Autofinanciamiento, or self-financing, refers to a system in which potential buyers pool funds as a group, purchasing a vehicle monthly through a raffle system. All group members are able to purchase a vehicle at a determined step in the process, and each buyer pays off their remaining balance individually. This system provides an opportunity for potential buyers who are not able to receive a standard auto loan to purchase new vehicles.
■ Service Business
Sojitz is developing a parts quality assurance business, with a customer base that includes automobile and automobile parts manufacturers. Furthermore, in response to the changing times, we are working to build new business models including mobility as a service (MaaS) and subscription services. We aim to transform commercial practices in the used car industry with a data-driven approach that utilizes digital tools. We are providing services and creating new venues for transaction that offer greater convenience to both buyers and sellers of used cars.
Organization
Latest Information
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Sep. 24, 2024
News Release
Sojitz Signs Distributorship Agreement with Kia Corporation for Distribution of Kia Electric Vans in Japan
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Feb. 21, 2024
News Release
Sojitz Enters the Automotive Distribution and Retail Business in Panama with Acquisition of Panama’s Second Largest Group
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May 16, 2023
News Release
Sojitz Acquires the Largest Pure-play Operator in the Used Car Market in Australia
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May 12, 2023
News Release
Sojitz Invests in Multi-Brand EV Distributor in Norway
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Feb. 3, 2023
News Release
Sojitz Enters Authorized BYD Dealership Business in Japan