As the recovery efforts continue in Japan post earthquake/tsunami, the impacts on North American assembly operations are continuing to pile up.  Much was initially made of the shortage of electronics & paint pigments, but now shortfalls in other areas are creeping up as well.  The cumulative effect of these supply shortfalls is that production lines remain idled or at reduced capacity, largely for the Asian brands.

 So far, these shutdowns have had little material direct impact on the traditional North American supply base for the foreign assembly plants, but will this continue to be the case?  Parts suppliers dependent on this business likely have some flexibility as a result of surviving the recent supply crisis, but do they have enough?  This could be the time where being too dependent on the foreign assemblers could be detrimental, unless there is some form of financial assistance available.

 For any companies caught short during this crisis, EDC welcomes the opportunity to discuss with you possible ways to help support your company/bank.  If you have questions on how, don't hesitate to contact us.

Disclaimer:

The views expressed here are those of the author, and not necessarily of Export Development Canada

 Les vues exprimées dans ce propos sont celles de l'auteur. Elles ne reflètent pas nécessairement le point de vue d'EDC.