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Japan quake halts chip and auto production in Kyushu
Companies suspended output as inspections and supply disruptions spread across Kyushu, with TSMC’s Japan unit saying a full return could take more time.
- On Tuesday, a 7.1-magnitude earthquake struck Kumamoto, Japan, forcing Toyota Motor, Honda Motor, and Taiwan Semiconductor Manufacturing Co. to suspend production operations due to safety concerns and facility damage.
- The region, known as Japan's 'Silicon Valley,' serves as a critical hub for automotive and semiconductor manufacturing, making this disaster a significant test of supply chain resilience built over decades.
- As of Friday, 13 people have died in the disaster, while automotive parts suppliers Aisin Kyushu and Denso reported impacts, with production output of more than 5000 vehicles potentially lost.
- Companies are preparing to restart production "sequentially on lines where safety and quality can be confirmed," though Toyota and Nissan Motor Kyushu have suspended operations at multiple plants through Friday.
- Intermediate goods account for 60.9% of trade between South Korea and Japan, with prolonged shutdowns potentially delaying critical supplies for electronics and automakers through interconnected global supply chains.
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11 Articles
Japan quake snarls auto and chip supply chains as toll hits 34
KUMAMOTO, Japan, July 31 - A powerful earthquake that struck southern Japan this week has exposed the vulnerability of the country's manufacturing supply chains, a decade after a devastating quake in the same region triggered widespread industry disruption. Read more at straitstimes.com.
·Singapore, Singapore
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Coverage Details
Total News Sources11
Leaning Left1Leaning Right3Center5Last UpdatedBias Distribution56% Center
Bias Distribution
- 56% of the sources are Center
56% Center
11%
C 56%
R 33%
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