Japanese earthquake adds to supply chain woes

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Carmakers and suppliers, notably those supplying semiconductors, have been affected by an earthquake that hit Fukushima on March 16

Toyota announced it would be suspending operations at more than half its plants across Japan. The automaker said 18 production lines at 11 plants (out of 28 lines at 14 plants) would be closed for three days because of earthquake-related supply problems.

“Due to the parts shortage resulting from suppliers affected by the earthquakes, additional adjustments will be made to production operations in some plants in Japan,” Toyota said in a statement.

Renesas Electronics, which produces nearly one-third of the microcontroller chips used in vehicles worldwide, also said it would be restarting production after stopping at two factories, with a partial stop at a third.

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