At the press conference announcing its financial results for the fiscal year ending March 31, 2025, Toyota announced its policy to shift to a more stable profit structure by emphasizing its value chain (VC) business, which generates revenue from vehicle ownership, thereby reevaluating the VC business.
The VC business is a form of business that generates revenue from services and parts used in vehicle ownership, such as accessories and spare parts, used car business, connected services, and sales finance, after users have purchased a vehicle.

While new car sales are subject to high volatility due to the economic climate, VC is more stable and less volatile than new car sales because VC is a necessary product that users need throughout their ownership of the vehicle.
Toyota has not neglected VC in the past, and has been monetizing it as much as possible throughout the life cycle of a vehicle, from new car sales to scrapping, as in “sucking up one car”.
It is well known that supply parts for used Toyota vehicles exported to Africa and other emerging countries have long been a source of revenue.

We spoke with representatives from each of our suppliers about the impact of the U.S. tariffs and how they are responding to them.
We will not name the companies, but we were impressed by the policy of each company to “diversify suppliers without being bound by Keiretsu.
There are signs that the traditional Caylets structure is gradually changing, as OEMs are encouraging suppliers to become more independent.

However, the reality is that it is not easy to develop suppliers, and additional burdens such as new coordination and timing issues are involved, so it is not an easy process.
In addition, there is the fundamental issue of declining production of finished vehicles.