Low inventory of parts, global auto industry, or 30% reduction in production due to the Japan earthquake

Two months have passed since the Great Earthquake in Japan. With fewer parts and components stocks in the backyards of vehicle manufacturers located all over the world, the deeper impact of the earthquake on the global automotive industry has recently become even greater. Large-scale manifestations, and even institutional predictions, may cause the global automotive industry to reduce production by 30%.

In recent days, vehicle manufacturers around the world have re-adjusted their production pace. General Motors, which was soon baptized by the financial crisis, was strongly impacted by the earthquake in Japan, and its global operations were affected to varying degrees. GM shut down its truck assembly plant in Shreveport, Louisiana, USA, and the Zaragoza plant in Spain, and its factories in Eisenach, Germany and Korea Reduce shifts and slow down production. The Opel Corsa compact car produced at the European plant has been affected due to supply shortages in parts produced in Japan.

According to foreign reports, in order to minimize losses, GM shipped the parts and components of the Shreveport factory to an assembly plant in Kansas City to produce more profitable models such as the Chevrolet Malibu and the Buick LaCrosse.

Since last Wednesday, the French Peugeot Citroën Group (PSA) has terminated production at some of its factories.

Due to the lack of supply of air flow sensors, PSA is located in Madrid, Vigo, France, Poissy and Aulnay, France, and Trnava, Slovakia, and the operating rate is reduced to 40%. To 50%. In Sochiaux, Sevelnord and Mulhouse, the operating rate fell to 75%.

Yuji Nakamine, managing executive of Mazda Motors, said that the company's Thai operations are waiting for information on the supply of spare parts from Japan and are slowing production at factories near Bangkok.

Ford Motor Co., Ltd. manufactures hybrid vehicles such as Fuxing, Maverick, and MKZ, because the key component, the power battery, needs a Japanese manufacturer. Although Japanese manufacturers are not affected by the earthquake, it is difficult for traffic and transportation to recover in a short time. Normally, Ford has begun to seek alternative suppliers.

Toyota Motor Corporation announced last Wednesday that it was forced to suspend production of some cars in North American factories due to a shortage of parts of auto parts due to the earthquake in Japan.

Mexico, which relies heavily on imported parts and components in Japan, is facing a severe test of the damage to its pillar industries. Due to lack of inventory, Honda Motor Co., a factory in Jalisco, Mexico, will cut its manpower by half.

Countries such as India, Thailand, South Korea and even Germany, which have participated in the process of globalization of the automotive industry, are at risk of shrinking their auto industry.

“Global automakers are unlikely to avoid being affected by mid-April. The earthquake will cause shortages of silicon wafers, liquid crystal displays (LCDs), chips, high-strength steels and chemicals, which will affect the automotive industry.” American Market Research Corporation Michael Robinet, senior analyst at IHS Automotive, analyzed. The agency predicts that the shortage of parts caused by the Japan earthquake will reduce the global automotive industry by about 30%.

In recent years, automobile companies represented by Toyota Motor Corporation of Japan have advocated a “zero inventory” operation model for cost saving, and have established a tight supply chain network throughout the world, demonstrating a greater degree of globalization.

Today, multinational car companies are beginning to rethink whether it is wise to rely too much on the global supply chain. Even in China, where the degree of localization is relatively high, multinational car companies have begun to think about the future of the enterprise under globalization.

Dong Yang, secretary general of the China Association of Automobile Manufacturers, said in an interview with this newspaper that in the pursuit of the globalization of the automobile industry, it should properly consider the supply of multiple products and maintain the integrity of the industrial chain in certain regions. This is to maintain the automotive industry in a region. Safety is of great significance.