A car dealership’s window is broken following a strong earthquake in Koriyama, Fukushima prefecture, Japan in this photo taken by Kyodo on March 17, 2022.
Kyodo| via Reuters
DETROIT – A major earthquake this week in Japan is causing additional problems for the already constrained global automotive supply chain, which continues to manage through problems caused by the coronavirus pandemic and Russia’s ongoing invasion of Ukraine.
As companies monitor and assess potential residual impacts of Wednesday’s 7.4 magnitude earthquake on their supply chains, auto companies most immediately impacted included Toyota Motor and Renesas Electronics, a major supplier of semiconductor chips for the automotive industry.
Research firm LMC Automotive expects the earthquake to lead to lower vehicle production this year of between 25,000 and 35,000 cars and trucks, adding to already-decreased expectations due to an ongoing shortage of semiconductor chips and the war in Ukraine.
“This is just another layer