Car factories stpping production in Japan
Discussion
This will be an 'interesting' time for Manufacturing.
As the first adopters of 'Lean Production', Japanese companies have minimal stocks of components, and rely on frequent deliveries from numerous suppliers.
'Transplants' such as in the UK will doubtless get certain components from Japan, any one of which could be a line stopper if unavailable.
Throw in an energy shortage from infrastructure damage and this disruption could last a long time.
As the first adopters of 'Lean Production', Japanese companies have minimal stocks of components, and rely on frequent deliveries from numerous suppliers.
'Transplants' such as in the UK will doubtless get certain components from Japan, any one of which could be a line stopper if unavailable.
Throw in an energy shortage from infrastructure damage and this disruption could last a long time.
youngsyr said:
Possibly not for foreign buyers - the yen may fall against sterling to balance out the increases in yen prices.
I guess we'll have to wait and see.
if supply is restricted, not withstanding the potential of a falling yen, the UK NSC's will increase prices, or at least dealers won't be discounting as much. In summary global markets will need to profiteer in order to prop up Japanese domestic shortfall in revenue. This would be true for electronics etc. I guess we'll have to wait and see.
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