The Japan earthquake and tsunami could trigger a global financial crisis
Japan Earthquake and Tsunami stops production at Nissan, Toyota and Honda
The Japan earthquake and tsunami could trigger a global financial crisis. It is thought that car and electronics manufacturers will be among the worst hit. Shares in Toyota plunged almost 8 per cent after the company said it would suspend production at all its domestic car plants until at least 16 March. The move will spark fears that imports of vehicles would dry up in the UK.
Honda said its Japan plants would remain shut until 20 March while Nissan halted output at all its four domestic assembly factories and said it was unsure when it would be able to resume production.
Goldman Sachs said rough calculations indicated the profit impact of stopping production for one day would be about $73.3 billion (£45bn) for Toyota and $24.4 billion (£15m) billion yen for Honda and Nissan.
Nissan Bosses say they have made contact with 45 staff from its Wearside plant, Sunderland, who were in Japan when the devastating quake hit.