2021 was a year of many firsts. Tibet debuted its first bullet train, scientists devised a method to wirelessly connect a human brain to a computer, NASA’s rover synthesized oxygen on Mars and Richard Branson became the first private citizen to space travel in his own, private spaceship. And these weren’t the only events that took place for the first time. In an event of yet another firsts, Toyota dethroned General motors as USA’s best-selling brand in 2021. GM had been the top-selling automaker in the country since 1931 but this is for the first time that Toyota has managed to top sales charts and the American heavyweight wasn’t able to stop the Japanese carmaker.

Right from its trucks like the Toyota Tacoma to its luxury SUVs like the Lexus UX and RX, pretty much all the offerings from the Japanese giant saw great demand. As per the numbers from Reuters, Toyota and Lexus together sold about 1.86 million vehicles in 2021 in the United States while GM was short by around 80,000, selling about 1.78 million units. GM sales dropped by nearly 13 percent compared to 2020 when it sold about 2.55 million vehicles.

This sharp drop in sales was primarily due to massive semiconductor shortages that the auto industry faced and the American automaker was hit hard. GM had to take dramatic measures to manage the semiconductor and microchip shortages and that’s why the sales numbers sunk. In May-June 2021, GM had over 20,000 vehicles lying idle on their assembly lines, half-built, waiting for the electronic parts to arrive and fit in.

Further, to control damage and speed up deliveries, GM even had to cut down on some of the features that it offered with its vehicles. 2021 GM SUVs and trucks like the Chevy Silverado 1500, GMC Sierra 1500, Chevy Suburban, Tahoe, GMC Yukon, and the Cadillac Escalade were all stripped off of automatic engine start/stop function. GM also had to stop offering cylinder deactivation with its Sierra and Silverado trucks. The 5.3-liter, V8 L84 engine from GM was earlier equipped with a cylinder deactivation program that helped in enhancing the truck’s fuel economy. However, GM had to cut the feature down and as a result, the 2021 Sierra and Silverado models equipped with these engines have lower fuel economy ratings than their predecessor. Moreover, GM also stripped all its trucks of HD radio and electronic power steering lock which are basic features that you’d find in any other vehicle before but you won’t get them in 2021 GM models.

Delayed deliveries and lesser features kept people away from buying GM cars. Nobody likes to keep waiting for their vehicle and have a vehicle with lesser features and equipment compared to the previous model year. On the flip side though, Toyota coped up with the shortages and the pandemic well and managed to perform better, hence they saw a healthy rise in sales figures. Toyota somehow was able to keep the supply of microchips smooth and didn’t have to take stern steps as GM and Ford did. As a result, 2021 saw Toyota dethrone GM as the market leader, who had the best sales in the country each year for almost 9 decades.

Toyota crossovers, SUVs, and trucks like the Tacoma, Highlander, Tundra, 4Runner all saw a good spike in sales. Interestingly, sales of its best-seller in the previous year, the RAV4 went down by about 5 percent while its sedans like the Camry and the Corolla saw improved sales numbers even at a time when all people want is an SUV or a crossover.

Toyota was hugely benefitted by its lineup of electrified vehicles. Toyota doesn’t have a single all-electric car on sale but has several hybrids, plug-in hybrids, and hydrogen fuel cell-powered vehicles in their stable. Toyota sold about 584,000 units of hybrid and fuel-cell vehicles in 2021 and that was 73 percent more than what it had sold in 2020. 1/4^th of total Toyota vehicles sold in the country were hybrids. Credit to the rising fuel prices and a shifting trend towards electric vehicles, many buyers thought of hybrids as a convenient option of saving on fuel expenses and staying away from range anxiety. The sun was indeed shining bright on Toyota and it certainly made the most hay out of it and the sales numbers tell the story.

In a statement given to Car and Driver, a Toyota spokesperson thanked its loyal customer base for putting their trust in the brand. The spokesperson asserted that Toyota will stay committed to delivering quality and safe products to their buyers.

On the other hand, GM spokesperson Jim Cain told Reuters that the American automaker had an altogether different strategy to cope with the shortages and the pandemic, and the company was focused on maximizing profitability and not just grossing up high sales figures. He further added that 2021 was still a pretty strong year for the company despite all the blockers and its full-size SUVs had good sales. Cain further went on to take a jibe at Toyota and said, “I wouldn’t rush out I were (Toyota), and get a ‘We’re No.1’ tattoo.”

It’d be interesting to see where this cold war between the two auto majors leads to. The industry is still recovering from the shortages and the trends in the auto world are fast shifting. While SUV and crossover sales grow, the market is also shifting fast towards EVs with incentives and perks from the federal government coming in. Buyers are increasingly turning towards full-electric vehicles and surprisingly, Toyota, the country’s best selling brand does not have an all-electric car on offer as of now while GM has a couple of them in the form the Hummer EV and the Bolt EUV. Both the brands have multiple models slated for 2023 and it is going to be a tough battle between these two this year. So, can Toyota come up again as the best-selling brand in the country at the end of 2022? Or will GM get the throne back? Or will an altogether different brand like Ford or Honda topple these two and take the number one position? Well, only time will tell that.