Japan Eyeing Standardization of Auto Parts in Wake of Earthquake - BodyShop Business
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Japan Eyeing Standardization of Auto Parts in Wake of Earthquake

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A report from Asahi Shimbun says the Japan Ministry
of Economy, Trade and Industry is considering mandating that the country’s carmakers share the same parts in their vehicles to avoid the supply network
breakdowns that occurred after the March 11 earthquake.

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Officials argue that such a policy would allow
manufacturers to procure parts from other suppliers if their own suppliers were
affected by a disaster.

Critics say such a move would run counter to the culture
of the Japanese car industry, which has successfully been able to procure good
parts at prices lower than their competitors. Critics also say that
standardizing parts could weaken competition among Japanese suppliers and make
it easier for overseas manufacturers to copy these parts and grab market share
from Japanese suppliers and carmakers.


More information:

Read the full story in the Asahi Shimbun English version

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