Earthquake Roundup III – Subaru Resuming Production

The automotive world is still feeling the effects of last month’s catastrophic earthquake and tsunami in Japan.  Hardest hit are car makers based in the country including Subaru, Toyota, Nissan and Honda.  Here’s the latest update on the situation.

Subaru

  • Fuji Heavy Industries Ltd. (FHI), parent company of Subaru, announced today that they will resume car production tomorrow, after being shut down for most of March.  Models included are the Forester SUV, Legacy and Impreza.  The initial output will be about half the normal rate.
  • On March 23 and 24, FHI resumed production for spare parts and production parts used for overseas production, including the Subaru Indiana plant in the United States, which produces the Tribeca, Legacy and Outback.
Toyota
  • Toyota is still experiencing setbacks at plants in Japan that they depend on for key parts. It’s estimated that they may lose 500,000 vehicles of output.
  • Production resumed on March 24 for some hybrid models including the Prius.  The company maintains that the impacts to North American operations are minimal.
Nissan
  • All Japanese plants have resumed normal operations except the Iwaki Engine Plant, which Nissan estimates will be operational by the end of the month.
  • The impact to Nissan’s March production is approximately 55,000 units.
Honda
  • Honda is still struggling to resume parts production and therefore continues to cut production in key markets.  The Philippines and India are the latest countries to be affected.
  • Although most North American plants obtain parts from regional sources, shortages of key parts from Japan are forcing cuts in production until at least April 15, possibly longer.
Stay tuned for further updates.

Source: Bloomberg, Automotive News, Reuters, Toyota, Nissan, Subaru, Honda Fuji Heavy Industries Ltd.

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