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What Will Happen to the Japanese Automakers?
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Posted On: 3/14/2011 12:09PM
SouthernGuy8503

I was reading a story on Yahoo News about 1,000 dead bodies washing up on the Japanese coast. Horrible and gruesome, yes, but a sentence that stood out for me was this: "The stock market plunged over the likelihood of huge losses by Japanese industries including big names such as Toyota and Honda." Uh-oh.

What do you think will happen to the big Japanese auto companies? It's not exactly the kind of thing that comes to mind first, in light of the massive scale of the human tragedy unfolding in Japan. But the health of the big automakers will have a substantial impact on the country's ability to get back on its feet. So I'm wondering about those big Japanese companies, especially those that are big here in the US. What's your take on how the Japanese automakers will be affected, both in Japan and here in the US?

Comments (11)
Avatar By: Grimjoker
3/14/2011 12:20 PM

Idk...I really hope manufacturers would be able to bounce back after this tragedy. But this doesn't just affect the auto industry, practically anything we import from japan is going to be affected.

 
Avatar By: cknarf
3/14/2011 1:09 PM

Well, since alot of toyota cars are manufactured here, I don't think it will be terrible.

 
Avatar By: chewzer
3/14/2011 1:34 PM

I think most of the manufacturing takes place here in either the U.S. or Canada. The only thing that might that might get screwed up is with the white collar guys. None the less hopefully things don't get too messed up, I'm looking forward to getting an FT-86.

 
Avatar By: SouthernGuy8503
3/14/2011 1:42 PM

I'm talking more about the fact that they still have their HQs in Japan. I just see them getting hit really bad financially. Think of it if something like that happened here in the US how it would effect the GMs, Fords and Dodges outside of the US.

 
Avatar By: usnrocker
3/14/2011 2:05 PM

i see an inflation on the "Foreign" markets which would include the US to compensate for the lose of sales...

 
Avatar By: carsick30
3/14/2011 3:01 PM

expect all the cars pictured to be listed on ebay shortly as "reduced to sell! jdm-lover's dream car! low miles!"

 
Avatar By: SuzyBruisy
3/14/2011 3:28 PM

I heard that the main industrial area of the country is unaffected damage-wise, but that the widespread power outages and supply-chain disruptions might impact production and the car plants. Oh god and I hope there weren't any US-bound TSX Sport Wagons in that smoldering pile of cars.

 
Avatar By: GTwildfire
3/14/2011 7:40 PM

Japanese automakers who can't float the losses with either be bailed out by the Japanese Government, may be bailed out via acquisition or partnership... or will fold. I doubt very much that Honda or Toyota would fold, provided further destructive events don't occur before they can recuperate.

 
Avatar By: SouthernGuy8503
3/15/2011 7:35 AM

Saw this on Yahoo News about what I posted and figured would happen. http://finance.yahoo.com/tech-ticker/from-gas-to-gadgets-japan's-disaster-means-higher-prices-536027.html

 
Avatar By: WickedS13
3/15/2011 11:18 AM

^^^ Exactly what I was thinking.

 
Avatar By: HotRodHoney
3/19/2011 1:09 PM

I heard that their Toyota plants are still structurally sound but Mitsu & Subaru had some damage. They are all remaining shut down though as a precaution. It is true, though many of their vehicles are built here or in Canada. However, a friend of mine who works for GM was told by their rep that there was a parts factory in Japan where they built transmissions for some of the GM that shared Toyota parts (for example Matrix/Vibe..) This parts manufacturing plant was washed off the face of the earth and if any customer appears in need of a tranny replaced, they are to give said customer a "permanent rental" They are working to retool other plants, but the more tragic thing is: the skilled workers are also gone. What a terrible thing to hear, those poor people.

 

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