The Big Japanese Power Sharing Story: Pure Fantasy

Bertel Schmitt
by Bertel Schmitt

Remember the story about the rotating power rationing in Japan? One for all, all for one? It appears that it is pure fantasy. On Saturday, The Nikkei [sub] wrote that Japanese automakers are considering running their factories in rotation to help cut the industry’s electricity consumption. The wire service said that “automakers are expected to hold a consultative meeting shortly at the office of the Japan Automobile Manufacturers Association to agree a rotational schedule.” The story had originated on the usually reliable and sometimes uncomfortably persistent Kyodo wire. On Monday, the story grew legs. Automotive News [sub] reported that the electronic industries don’t want to be left behind and demand rotating production holidays between the automotive and electronics industries. It now emerges that it was all wishful thinking.

Today, I called a few members of the Japan Automobile Manufacturers Association to find out how the meeting went and what was decided. All JAMA members contacted said that there was no such meeting. There wasn’t even such a plan.

One industry insider said “I saw the Kyodo story last week. Closing 7-11 on Monday, Family Mart on Tuesday and Lawson’s on Wednesday sounds like a simple idea. The problem is, the car industry isn’t that simple.”

A contact at another JAMA member said: “If anyone should know about this meeting, then it’s me. I don’t know about this meeting.”

All industry sources contacted confirmed that the lack of reliable power is a huge problem. “We can fix our plants. We can give our suppliers the assistance they need,” said an executive at a leading JAMA member. “We wish we could provide our suppliers with power.”

Once the usually hot and humid summer has arrived in Japan, the power problem will be much bigger than now. According to the manufacturers, there is no simple solution in sight, not even a complicated one. All they know is that the power will be scarce and more expensive.

Who would have thought that a lack of electricity will put a big dent into the Japanese, and by extension the world’s auto industry?


Bertel Schmitt
Bertel Schmitt

Bertel Schmitt comes back to journalism after taking a 35 year break in advertising and marketing. He ran and owned advertising agencies in Duesseldorf, Germany, and New York City. Volkswagen A.G. was Bertel's most important corporate account. Schmitt's advertising and marketing career touched many corners of the industry with a special focus on automotive products and services. Since 2004, he lives in Japan and China with his wife <a href="http://www.tomokoandbertel.com"> Tomoko </a>. Bertel Schmitt is a founding board member of the <a href="http://www.offshoresuperseries.com"> Offshore Super Series </a>, an American offshore powerboat racing organization. He is co-owner of the racing team Typhoon.

More by Bertel Schmitt

Comments
Join the conversation
2 of 7 comments
  • Cdotson Cdotson on Mar 30, 2011

    I wonder (hope?) if Japan will view rebuilding from this disaster as an opportunity to merge their grids' cycle frequency. Low-voltage 50Hz can be a real PITA for some manufacturers of electromechanical equipment (like the company I work for). Some items just don't like the 50Hz Japanese supply, especially since its voltage window seems to trend to the low side anyway.

  • Geozinger Geozinger on Mar 30, 2011

    I know this is totally OT; but this quote has left me verblufft sein: "One industry insider said “I saw the Kyodo story last week. Closing 7-11 on Monday, Family Mart on Tuesday and Lawson’s on Wednesday sounds like a simple idea. The problem is, the car industry isn’t that simple.” " I haven't heard or seen a mention of Lawson's in at least 25+ years, and I had no idea they had been operating in Japan (and now China!) for a number of years now (thank you Wikipedia). it's hard for me to fathom that a convenience store chain that took root 45 mins away from where I'm from, moved to the Far East and is prospering... Weird...

  • Rochester After years of self-driving being in the news, I still don't understand the psychology behind it. Not only don't I want this, but I find the idea absurd.
  • Douglas This timeframe of Mercedes has the self-disintegrating engine wiring harness. Not just the W124, but all of them from the early 90's. Only way to properly fix it is to replace it, which I understand to be difficult to find a new one/do it/pay for. Maybe others have actual experience with doing so and can give better hope. On top of that, it's a NH car with "a little bit of rust", which means to about anyone else in the USA it is probably the rustiest W124 they have ever seen. This is probably a $3000 car on a good day.
  • Formula m How many Hyundai and Kia’s do not have the original engine block it left the factory with 10yrs prior?
  • 1995 SC I will say that year 29 has been a little spendy on my car (Motor Mounts, Injectors and a Supercharger Service since it had to come off for the injectors, ABS Pump and the tool to cycle the valves to bleed the system, Front Calipers, rear pinion seal, transmission service with a new pan that has a drain, a gaggle of capacitors to fix the ride control module and a replacement amplifier for the stereo. Still needs an exhaust manifold gasket. The front end got serviced in year 28. On the plus side blank cassettes are increasingly easy to find so I have a solid collection of 90 minute playlists.
  • MaintenanceCosts My own experiences with, well, maintenance costs:Chevy Bolt, ownership from new to 4.5 years, ~$400*Toyota Highlander Hybrid, ownership from 3.5 to 8 years, ~$2400BMW 335i Convertible, ownership from 11.5 to 13 years, ~$1200Acura Legend, ownership from 20 to 29 years, ~$11,500***Includes a new 12V battery and a set of wiper blades. In fairness, bigger bills for coolant and tire replacement are coming in year 5.**Includes replacement of all rubber parts, rebuild of entire suspension and steering system, and conversion of car to OEM 16" wheel set, among other things
Next