All Japanese Carmakers Closed In Thailand - Loss Of 360,000 Units Possible

Bertel Schmitt
by Bertel Schmitt

Japanese carmakers, which barely have recovered from the effects of the March 11 earthquake and tsunami, find themselves in another catastrophe. Floods in Thailand cost Japanese automakers approximately 6,000 cars a day, Toshiyuki Shiga, chairman of the Japan Automobile Manufacturers Association, said today in Tokyo.

All nine Japanese carmakers have shut down their Thai plants. Shiga said that eight out of nine closed due to component shortages. Parts makers again are the critical link in the supply chain. Already, the effects of the floods are being felt in other countries. Yesterday, Japanese partsmaker Aisin Seiki closed its engine parts plant in Thailand. According to The Nikkei [sub], “this could result in a parts shortage that brings engine production to a standstill, impacting Toyota’s output of pickup trucks and other vehicles in Malaysia, Vietnam and other countries nearby.” Nissan also builds the March/Micra subcompact in Indonesia from parts shipped from Thailand.

According to Reuters, manufacturers are hoping for a resumption in December … if the floods recede. That could mean another 360,000 cars missing, and this while the Japanese car industry is pulling out all stops to make up for lost production due to the tsunami.


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.

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 4 comments
  • Mike978 Mike978 on Oct 20, 2011

    Maybe the Japanese manufacturers will relocate to safer climes such as continental Europe, North America, South America or China. Non-Japanese manufacturers seem to be able to service worldwide markets without these issues.

    • Eldard Eldard on Oct 20, 2011

      That's why I'm suspicious. HAARP did it. lolz

  • Philadlj Philadlj on Oct 20, 2011

    How about moving production to...erm...Bangladesh? Never floods there, right? Or Mongolia, AKA "China's Canada"?

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