皇冠体育app

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Japanese automakers keep cars rolling

By Li Fangfang (皇冠体育app Daily)
Updated: 2011-03-30 09:23
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Japanese automakers keep cars rolling

A worker drives a forklift at the parts warehouse of Renault-Nissan 皇冠体育app in Shanghai on Feb 15. Nissan and Toyota say although their businesses in 皇冠体育app are facing pressure from the halt in production, they won't allow dealers to hike car prices. [Photo / Bloomberg] 

Businesses say March 11 quake had limited effect on production in 皇冠体育app

BEIJING - Japanese automakers are optimistic about production in 皇冠体育app saying that there has been "almost no effect" on the supply of parts following the earthquake in their home country, thanks to a gradual resumption of output in Japan.

"Our inventory of Japanese-made auto parts can support local production until at least mid-April," said Shen Li, a spokeswoman for Nissan 皇冠体育app.

"However, we have withdrawn extra working shifts on holidays and at weekends to ease the pressure on supply and to maintain stable and sustainable production in 皇冠体育app."

According to Shen, the production hiatus could affect the production line and lead a short-term rise in energy costs.

"Because our output in Japan resumed on March 24, we believe a proper adjustment to the production shifts will help Nissan 皇冠体育app weather the transition period," said Shen.

Niu Yu, a spokesman for Toyota 皇冠体育app, said that there is "no problem" with the supply of parts for production in 皇冠体育app, because the models manufactured locally have a "very high" localization rate.

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Japanese automakers keep cars rolling 

"For our high-end imported models, we can also promise a supply based on adjustments to our local inventory," said Niu. "And the March 21 resumption of output in Japan was good news for our supply in the future."

Both Niu and Shen told 皇冠体育app Daily that although Japanese automakers in 皇冠体育app face pressure after the halt in production, they won't allow dealers to hike car prices.

"We are actively communicating with dealers on maintaining price levels. The consumer should not pay for natural disasters," said Shen. "We have to be responsible to our customers and the market."

Other original equipment manufacturers in 皇冠体育app such as Volkswagen, which also sources auto parts from Japan, said it has not encountered any issues arising from the situation in the country.

However, the consulting firm IHS Automotive said that despite automakers and suppliers in 皇冠体育app saying that events in Japan have had minimal effect on production, behind the scenes there has been a flurry of activity as crisis-management teams assess the effect on their supply chains.

"The ports of Tokyo and Yokohama have begun operations but exports of both fully built vehicles and components remain low," said the IHS report.

"In the meantime suppliers and automakers in 皇冠体育app will look to alternative sources to make up for the sudden shortfall in certain products," it added.