Japanese Automakers Suspend Operations Following Strong Earthquake

On July 30, following a strong earthquake in the Pacific coastal region of Russia, the Japan Meteorological Agency warned that tsunami waves of up to 10 feet could inundate parts of Japan's coastline. Consequently, Toyota, Nissan, and Mitsubishi suspended some operations in Japan. Toyota has halted afternoon shifts at eight factories within Japan and the morning shifts at two factories the following day. The largest automaker in Japan stated that there have been no reports of casualties or damage to facilities so far, but it decided to suspend some operations to better assess worker safety and ensure logistics are uninterrupted. The company will later determine the resumption of operations at affected factories. Nissan, which has its global headquarters in Yokohama, evacuated personnel from its showroom and product display area on the first floor following the alert. A spokesperson indicated that Nissan's coastal Tsukuba assembly plant and R&D center also paused operations and evacuated employees. The company's engine plants in Yokohama and Iwaki also suspended operations and evacuated staff. The Iwaki plant, located on the northeastern coast of Fukushima Prefecture, was severely damaged in the devastating earthquake and tsunami of 2011. Nissan has not reported any losses and is taking measures to ensure employee safety. However, the company later reopened the showroom at its Yokohama headquarters, as CEO Ivan Espinosa was scheduled to hold a press conference there later that afternoon to announce quarterly financial results. A spokesperson for Mitsubishi Motors stated that the company's Mizushima assembly plant, located near the western coastal region of Japan, suspended operations and evacuated employees as a precautionary measure following local government instructions. Mitsubishi has also reported no losses. Suzuki, headquartered in Shizuoka City near the Pacific coast, temporarily moved employees from the first floor to the second floor as a precaution, but its factory operations were unaffected. Mazda reported that its operations in the western coastal region of Japan were not impacted. Honda, with no factories in coastal areas, stated that it did not suspend operations or evacuate employees. On March 11, 2011, Japan experienced a magnitude 9.0 earthquake that triggered a deadly tsunami and led to a nuclear leak crisis at the Fukushima coastal nuclear power plant, causing a months-long disruption in Japanese automobile production. As a result, automakers in this earthquake-prone country are particularly sensitive to tsunami risks.