Earthquake Destruction in Japan May Affect Production of Thousands of Nissan and Lexus Vehicles
Toyota, Honda and TSMC paused operations as safety checks continued after the 7.1-magnitude quake disrupted factories and supply chains across Kyushu.
- On Tuesday, a 7.1-magnitude earthquake in Kumamoto forced major manufacturers, including Toyota Motor Corp, Honda Motor, and TSMC, to suspend production across Kyushu.
- Kyushu serves as a vital base for Japan's automotive and semiconductor industries, which account for roughly two-fifths of regional industrial output, according to the Ministry of Economy, Trade and Industry.
- Toyota suspended three plants through Friday, projecting a loss of around 5,200 vehicles, while Honda extended the closure of its Kumamoto motorcycle factory until Friday to complete necessary repairs.
- Chipmaker Renesas Electronics Corp halted operations at two plants due to structural damage including fallen ceiling panels, while Sony Group Corp evacuated staff citing worker safety concerns.
- Nomura Research Institute economist Takahide Kiuchi estimated economic losses will likely stay below 1 trillion yen, noting the impact appears smaller than the 2011 Tohoku earthquake due to relatively slight infrastructure damage.
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After the severe earthquake in southern Japan, several companies have temporarily stopped their production on the island of Kyushu.
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Japan earthquake rocks chip and auto manufacturing supply chain in Kyushu
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