Auto Analysts Anticipate Japan Quake Impact
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DETROIT (WWJ) – Japan’s leading automakers are feeling the heat of the massive earthquake that rocked the country.
Toyota, Nissan and Honda are suspending production for about a week at their domestic plants. The three are reporting damage to more than a dozen plants and facilities.
In Detroit, WWJ Auto Analyst John McElroy said most Japanese automakers are expecting get back into production by the end of the week, if not sooner.
“If that happens, we aren’t going to see any impact here in the American market. But, if it happens to go on longer than that, we will see an impact. Both, with car dealers selling Japanese cars and not having enough inventory,” McElroy said.
“But also, don’t forget that the American car companies and even American suppliers buy car parts and components in Japan. And, if they’re shut down — if those facilities in Japan are shut down for more than two weeks, we will see an impact here,” he said.
For now auto analysts say Japanese automakers have roughly a 60-day U.S. supply of vehicles.