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Japanese carmakers idle production in wake of quake

Given the terrible scope of the Japan’s earthquake and tsunami, not to mention the ongoing nuclear crisis, it has been difficult to get information regarding the status of Japan’s motor vehicle industry.

According to Timothy Beissmann at Car Advice, all of Japan’s domestic motor vehicle manufacturers have halted production in the wake of the last week’s events.

Honda Motor Co., the hardest hit by the natural disasters, has closed its factories until at least Sunday. Honda has 113 suppliers in the affected areas and still has not been able to make contact with 44 of those. It is estimated the production of more than 16,000 Honda vehicles will be delayed in the short term as a result of the factory closures.
Toyota looks likely to lose production of 40,000 vehicles, as some of its plants are damaged and others suffer electricity shortages from battered nuclear power stations. Toyota’s 12 manufacturing plants will stay closed until at least Wednesday. According to estimates from Goldman Sachs, Toyota could lose six billion yen ($72.6 million) in profit each day without production, while Honda could lose as much as two billion yen ($24.2 million) per day. With the nation’s death toll expected to exceed 10,000, Mazda, Mitsubishi, Nissan, Subaru and Suzuki have all closed their factories – both to ensure that their supply chains are up and running, and also to give workers a chance to regroup with their families.
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