Global auto industry could lose 5 million vehicles amid Japan disaster, expert says

[Bozita]

Source: Detroit Free Press

Global auto industry could lose 5 million vehicles amid Japan disaster, expert says
BY GREG GARDNER
DETROIT FREE PRESS BUSINESS WRITER
12:32 PM, Mar. 24, 2011|


Fallout from the Japan earthquake, tsunami and crisis at a crucial nuclear power has caused automakers to lose 320,000 vehicles, and if rolling blackouts continue the global industry could lose as many as 5 million vehicles before supply chains and factories return to normal, a leading expert said today.

“We could potentially lose up to 5 million units and while much of it could be made up over time, it could not be made up in 2011,” said Michael Robinet, director of global production forecasting for IHS Automotive. “As we stand today 18% of global auto output is down.”

To provide perspective, most forecasters expected global automakers to produce about 74 million cars and light trucks this year.

While all Japanese automakers have idled plants in their home country, the impact is spreading to North America. Toyota has told its workers in the U.S. and Canada to expect days when they will not build vehicles. General Motors has halted assembly of compact pickup trucks in Shreveport, La., and certain engines that power those trucks that GM makes in Tonawanda, N.Y.

Read more: http://www.freep.com/article/20110324/BUSINESS01/110324019/Global-auto-industry-could-lose-5-million-vehicles-amid-Japan-disaster-expert-says?odyssey=tab|topnews|text|FRONTPAGE

[Demeter]

1. You know what that means: Price Increases!

or more likely, fewer year-end bargains.

Considering the overcapacity, this would be a good time for them to cut their losses.

[DJ13]

2. Add this to the increasing salivation on Wall St

They're already dreaming of vast riches from rebuilding Japan.

[Yavin4]

3. Good News for Detroit and Germany, No?

This is their chance to increase their sales, and improve Michigan's economy.

[mortfrom]

4. Only problem is...

Detroit and Germany depend on parts from Japanese suppliers, all of whom are also shut down, or smashed flat.

[Yavin4]

5. Globalization Is Like Mountain Climbers Tethered To Each Other

One falls and pulls down everyone else.

[Snoutport]

6. great way to put it

but that means we, the people, are the last ones on the tether...eh?

[Yavin4]

7. Look Out Below!!!!

AAAAAAAAAHHHHHHHHH

[Auntie Bush]

8. Splat!