By on April 22, 2016

GM

Four General Motors assembly plants in the U.S. and Canada will be closed temporarily due to supply chain disruptions caused by last week’s earthquakes in Japan.

The automaker announced today that four plants — Spring Hill, Tennessee; Lordstown, Ohio; Fairfax, Kansas; and Oshawa, Ontario — will be idled for two weeks starting on April 25.

The production schedule of those plants required an adjustment due to a quake-spawned parts supply issue.

Two powerful earthquakes hit the southern Japanese island of Kyushu on April 14 and 16, leading to major damage and disruption in the industry-heavy area. For the country’s domestic auto industry, Honda and Toyota were the most heavily impacted.

The GM plant shutdowns represent the first time the earthquake has directly affected North American workers.

“This temporary adjustment is not expected to have any material impact on GM’s full-year production plans in North America,” the automaker stated in a media release. “In addition, the company does not expect a material impact to its second quarter or full-year financial results for GM North America.”

GM’s Spring Hill plant builds the Cadillac XT5 and GMC Acadia, while the Lordstown complex makes the Chevrolet Cruze. The Buick LaCrosse and Chevrolet Malibu are manufactured at the Fairfax plant, and Oshawa produces the Buick Regal, Cadillac XTS, Chevrolet Impala and Equinox.

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8 Comments on “Japanese Earthquake Disruptions Hit North America; GM Idles Four Plants...”


  • avatar
    Lorenzo

    So, what parts of American-assembled cars are being impacted? Computer modules? Emissions sensors? Air bags? ABS systems? Are the parts available elsewhere, but two weeks are needed to shift the supply chain? Or is GM using the earthquake to justify a 2-week shutdown of four plants to get inventory under control? For a website with a name like TTAC, that last one would be the first one to be checked out and reported on, one way or the other.

    • 0 avatar
      tekdemon

      All sorts of components are sourced from Japan so it’d be rather silly for TTAC to actually go and list out every part. Manufacturers from all over the world source components from Japan including major powertrain components so it’s going to impact pretty much every manufacturer except maybe a few European makes.

  • avatar
    shaker

    There is an inherent reliance on approved suppliers to maintain quality and costs – you can have secondary suppliers, but the switchover would involve delays as well.

  • avatar

    Do Japanese car makers depend on US made parts? I wonder why Trump and Sanders are so popular.

    • 0 avatar
      Lorenzo

      They do for their American factories. That’s why the Japanese automakers favored the bailouts of GM and Chrysler. The loss of those parts buyers would have put out of business some parts makers their American plants relied on.

      • 0 avatar
        highdesertcat

        This ^. Lorenzo hit the nail right on the head, as always.

        The bailouts, handouts and nationalization were the best thing that could ever happen for the Japanese car makers because they derived many of the benefits of bailing out GM and Chrysler and it did not cost them even one cent.

        But that didn’t make it right for the American tax payers who lost billions of dollars keeping those losers alive.

      • 0 avatar

        So then Trump or Sanders if elected are going to destroy American car industry. Or it is just a show – they bark but don’t bite? Who could imaging Americans loosing their minds esp young ones. America looked like the last bastion of stability and prosperity in the world.

  • avatar
    mikey

    Just to keep the record straight. Oshawa Flex{ Regal, XTS and Epsilon Impala}, two shift, is in fact down for two weeks. Oshawa consolidated {W Impala, and Equinox ,} one shift, is not scheduled for any down time…yet.

    “W” Impala will “build out” early June 2016

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