Earthquake in Japan Hits Energy, Chemical, Automotive Sectors

By March 11, 2011Economy

Awful news in Japan. Our thoughts are with them.

In addition to the loss of life, the earthquake could have a major impact on the global economy, supply chains and major industry sectors.

MediaPost.com, “Japan Automakers In Force Majeur“:

Nissan, Honda, and Toyota’s Japan operations are in force majeur because of the 8.9 magnitude earthquake that struck off the coast there. Toyota closed three factories, Honda Motor Co. has also suspended production, which could affect exports of Toyota’s Yaris sedan, Scion cars and Honda’s Fit small car. Toyota said it evacuated workers from several factories in the quake zone.

The Yaris is made at Toyota’s Miyagi Prefecture plant, which has capacity of 120,000 units per year. Honda reportedly lost two employees at its Tochigi factory, Kanto region, near Utsunomiya. Nissan Motor Company is still collecting the damage data.

Reuters reports, “Commodities, energy markets grapple with shutdowns“:

(Reuters) – Japan‘s earthquake forced port closures and shutdowns of oil refineries and metal plants in the world’s third-biggest economy on Friday, rattling commodity and energy markets as participants weighed up how quickly activity could return to normal….

All Japanese ports have closed, with discharging operations stopped, shippers said. Top refiner JX Nippon Oil & Energy Corp halted operations at three plants, while fire engulfed a storage tank at a unit of Cosmo Oil Co. The two make up about 20 percent of the country’s total refining capacity.

UPDATE (10:28 a.m.): Autoblog, “Report: Toyota, Honda, Subaru and Nissan close plants in wake of Japanese earthquake

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