Defective Vehicle Lawyer

Accounting in Japan has gone haywire since the March 11 earthquake. Many have temporarily stopped working on their finances and accounting in Japan because they have to deal with bigger problems. Many businesses were affected and loss of income reduced drastically. One such industry that was devastated by the earthquake is the auto industry.

Two weeks ago, May 16, 2011 the operator of the Fukushima Daiichi nuclear plant mentioned in a press meeting that the meltdown could have been caused by earthquake and not the tsunami that followed. Nonetheless, the Japanese auto industry has suffered a massive setback. Factories closed down and operations ceased. Millions of dollars in finished products were lost. No one had an inkling of what was to become of the auto industry, and if carmakers could even survive the crisis.

The initial assessment was discouraging and many businessmen and accountants saw a dim future with long-lasting effects. Still, the fighting spirit of Japanese auto makers remained undaunted.

Their suppliers who could not resume operations were put on hold, and other suppliers were sought. Those who could move closer to assembly plants did so. The problem was not just parts, but also power and transportation to ports. With the Japanese tight operations system where they don’t stock up on inventory of parts, it means there are no sufficient back-up inventory to cover the temporary inventory problem. Some cars and vehicles are not expected to be in production except on a limited capacity even during summer.

For the foreign market, this means they may not see Insight hybrids and Honda Fit for quite some time. Other cars which are built in other countries like the Honda Accord, and the Toyota Camry will be available since production was not affected. This is good news for many Japan car owners who fear they may not have enough parts for repair or maintenance.