Remember the story about the rotating power rationing in Japan? One for all, all for one? It appears that it is pure fantasy. On Saturday, The Nikkei [sub] wrote that Japanese automakers are considering running their factories in rotation to help cut the industry’s electricity consumption. The wire service said that “automakers are expected to hold a consultative meeting shortly at the office of the Japan Automobile Manufacturers Association to agree a rotational schedule.” The story had originated on the usually reliable and sometimes uncomfortably persistent Kyodo wire. On Monday, the story grew legs. Automotive News [sub] reported that the electronic industries don’t want to be left behind and demand rotating production holidays between the automotive and electronics industries. It now emerges that it was all wishful thinking. Read More >

Last weekend, Akio Toyoda donned heavy work clothes and a hard hat to do some genchi genbutsu (Toyota-speak for “go and see for yourself”) and toured the areas hit by earthquake and tsunami. Instead of us writing about it, we let Toyoda go and write himself.

Akio Toyoda, an admitted auto otaku, has an alter ego at the Gazoo Racing blog where he writes under the nom de plume “Morizou”.  That nick is borrowed from a cactus-like character that was the mascot of the 2005 Aichi Expo, but that’s for another story and another time. In yesterday’s blog, Toyoda/Morizou wrote about the tour. Translating from Japanese to English is pretty hard, especially when condolences are involved. Frau Schmitto-san and I besto wo tsukushita – we did our best, as they say in Japanese. Read More >

The first waves of the Japanese tsunami are reaching consumers at American shores. Oddly, some of the cars first affected may be the ones customers already have, not the ones they cannot buy. Toyota notified its dealers across the United States to prepare for a shortage of replacement parts, due to disruptions caused by the monster earthquake and tsunami in Japan, The Nikkei [sub] writes today.

Out of 300,000 “numbers”, as they call parts items in the vernacular, 233 are in short supply and have been “placed on controlled allocation,” as a Toyota U.S.A. statement says. Dealers are being asked to “refrain from placing any orders in excess of what is critically needed to support customer emergency need and true customer demand.” Read More >

Japanese car production was down 5.5 percent in February on weak domestic sales (down 12.4 percent in February to 401,292 vehicles) which were (not quite) compensated by a 13.2 percent rise in exports, the Japan Automobile Manufacturers Association says. Exports were especially strong to Europe, where 73.7 percent more cars were shipped. A total of 795,632 automobiles (all kinds) were made in Japan in February. This was the good news. Read More >

In the face of hysteria about radiation that drowns out the true death and destruction in Japan, Renault and Nissan CEO Carlos Ghosn toured the earthquake-damaged Nissan engine plant in Iwaki. Iwaki is some 35 miles from the stricken Fukushima power plant. Right away, Carlos Ghosn had to deny rumors that Nissan would abandon their engine plant. Instead, Ghosn “vowed to use every possible means to rebuild it,” says The Nikkei [sub].

It will be slow going. Read More >

After the March 11 quake, when the office buildings stopped shaking, Toyota told its 500 staffers in Purchasing to contact suppliers. Each damaged supplier received a red pin on a large map of northeastern Japan. Soon, the map was swamped by a tsunami of red pins. Some suppliers “suffered the complete destruction of their factories,” writes The Nikkei [sub], “and were unable to determine how many of their employees were still alive.”

With more than 10,000 dead, more than 16,000 missing, and whole towns razed in the Tohoku area, many shops are now believed to be at the bottom of the furious sea.

“The word ‘ordeal’ does not even convey the gravity of the situation,” Toyota President Akio Toyoda says. Read More >

Honda is thinking about delaying its earnings announcement while the company has all hands full dealing with the fall-out of earthquake, tsunami and radiating power plants. A Honda spokesman told Reuters: “We’re considering it, but nothing has been decided.” Read More >

“Production at a Nissan Motor plant in China dwindled dramatically two weeks after Japan’s earthquake and tsunami disrupted the supply of key auto parts,” reports China’s People’s Daily, citing “sources with the company.”

In a land where alleged spokespeople of a company get a heart attack and hang up when a reporter calls, those sources turned out to be workers at the Dongfeng Nissan joint venture in central China’s Hubei Province. “We used to assemble 304 cars a day, but today our plan is set at 82,” said a worker. Read More >

A shortage of engine-related micro control units (MCUs) resulting from damage to Japan’s Renesas Electronics plant in Naka will curtail global auto production, says the market intelligence service ICSIS, citing a report by Germany’s Deutsche Bank. Renesas Electronics is the world’s biggest maker of automotive microcontrollers. It more and more emerges as a “key bottleneck in Japan’s parts shortage,” says Automotive News [sub]. One of its two auto-related factories damaged by this month’s earthquake won’t be operational until July.

Renesas supplies 18-20 percent of the world’s automotive MCU market. About 70 percent of the production is sold to Japanese automakers, the remaining 30 percent goes to US and European car companies. “The supply of these MCUs is not easily replaceable,” says ICSIS, “as boosting production at other sites could take as long as six to nine months.” Read More >

By now, Toyota had wanted to have finished to move all of the production from Sagamihara near Tokyo to the new plant in Ohira in Miyagi Prefecture. Ohira already built the Yaris for export, the production of the Corolla for the domestic market was scheduled to follow, along with 400 employees who wanted to exchange the New Jersey-ish surroundings of Kanagawa for the mountainous beauty (and lower living expenses) of Ohira. Then, the tsunami intervened. Toyota has put a halt on the move. Read More >

After the Mach 11 earthquake and tsunami shut down a large number of power plants in Japan, rolling blackouts were instated in large parts of the country. Lack of power emerges more and more as the biggest impediment to a quick recovery.of the Japanese automotive industry. Most of the industry has been shut down. Power will remain scarce for many months in Japan. Come summer and A/C time, the situation will be worse. Japanese automakers are now considering running their factories in rotation to help cut the industry’s electricity consumption, The Nikkei [sub] writes today. Japan’s automakers could prepare for a production loss of well over a million units for the year. Read More >

“Cars mangled by the massive wall of water that destroyed into Japan’s northeast coast are being removed by construction equipment, placed on trucks and laid to rest by the thousands on flood plains once covered with water. The cars, many of which are marked with spray paint to indicate if bodies needed to be removed from inside, are laid in neat rows with license plates easily visible for owners or family members hoping to find lost vehicles.”

Read the complete gripping Reuters article here.

PS: Despite more than 20,000 dead, you won’t find pictures of them in the Japanese media. It is against Japanese custom to show pictures of the dead. Japanese are shocked when foreign media do not respect this custom.

So far, it had been clear that the March 11 earthquake and tsunami would create big problems for the auto industry in Japan in particular and worldwide in general. When asked when, where, and how much, all we received were shrugging shoulders when taking to a westernized counterpart, or an “eeeh” or the customary sucking of air through the teeth when talking to an old school Japanese.  Now finally, the first facts emerge. Read More >

Japan’s largest and second largest automakers are worlds apart. Last year, Nissan made less than half of the cars the world’s number one, Toyota produced. Looking at the February results of both, we see a Goliath that is slowing down and a David that is revving up mightily. What’s more, we see a Goliath that is heavily exposed to the destruction in Japan, and a David that had moved most of his production abroad, well before the Flood. Let’s compare David and Goliath. Read More >

Vehicle output of Japan, the world’s second largest car producing nation, was down across the board in February. The reductions reported today by Japan’s majors pale in comparison to the dramatic losses that will be announced for March, and quite possibly for months to come. Read More >