Nissan Resumes Production in More Japanese Plants

Nissan will restart production in more of its Japanese plants this week after the country’s series of natural and nuclear crises, according to a press release. The automaker already resumed work at one of its plants on Thursday; production willcontinue until supplies run out. As of today, only three of Nissan’s plants remain closed due to damage. These plants manufacture engines and transmissions for certain Nissan models, including the Infiniti M. The Detroit News reports that Nissan may ship engines manufactured in Tennessee to Japan, to make up for the decreased engine production in Japan.
Nissan’s troubles are indicative of those faced by most industries across Japan. Although some of its plants are not operational due to structural damage or a lack of available electricity, most of its problems stem from its supply chain. Smaller companies that supply components to Nissan and other companies have suspended operation, first because of the effects of the tsunami and then to wait out the nuclear calamity, reports the New York Times. If one component is unavailable, it holds up the production of the entire car.
So what does this mean for consumers? Earlier, we reported that car shoppers looking to purchase a new Japanese car soon may want to either buy now if possible to avoid higher prices resulting from smaller inventories, or hold off until the situation stabilizes. Some dealers have already begun to raise prices, reports Autoblog. If you’re looking to buy a Toyota, Honda, Mazda, Nissan, or other Japanese brand car, you may also want to consider buying a used model. It will likely take longer for price increases to reach the used car market than it has to reach the new car market.
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