Higher Car Prices Following Japanese Destruction

Japan Earthquake Car Prices

Natural disasters earthquake and tsunami that stroke Japan several days ago has caused such tremendous destruction in this country, and several countries nearby. One of the major destruction is in economy and all business activities, including in car production. Indeed, the natural disaster caused Higher Car Prices of all brands and models, which are manufactured and exported to Japan. One of the car manufacturer is Toyota, which planned to shut down due to spare parts shortages.

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Although do not get the impact of Japan’s disaster that leads to higher car prices, General Motors has recently started to pickup the assembly plant, in addition to stop manufacturing in one engine plant in the country. Besides the higher prices, cars’ spare parts shortages are also one major problem faced by Japan’s car industry. Mazda is one manufacturer that foresees part shortages ahead, while Suzuki has completely run out of them.

Carlos Ghosn, LeftLane Informs Nissan arch, believes that there are around 40 suppliers in Japan that meet some difficulties in automobile production. Some of these difficulties, which believed to cause higher car prices, are electronic, plastic, or rubber components supply. Mark Reuss, the operation president of North American GM Production, suggested that plant closings and supply line is extraordinarily bigger. As for customer, the Japan’s Higher Car Prices might be the right time to sell their Japanese-manufactured vehicles.