Archive for April, 2011

Nissan: U.S. market share may fall due to parts

There is a risk that Nissan Motor Co’s (7201.T) U.S. market share, which has been on the rise, may fall due to a lack of auto parts from Japan, North American Chairman Carlos Tavares said on Wednesday.

Tavares said the risk would be minimal if suppliers could quickly support a ramp-up in production. Speaking to Reuters on the sidelines of the New York Auto Show, he called the next few weeks “critical” to gauging the health of parts suppliers.

Through March, Nissan had 9.3 percent of the market share in the United States for the year, according to Autodata. The company finished last year with share of 7.8 percent.

“It’s fair to say that there is some risk,” Tavares told Reuters of losing market share in the United States. “We think it’s not going to be very big if we are able to ramp up.”

Automakers have been plagued by parts shortages, especially specialized electronics, since the March 11 earthquake and tsunami in Japan.

Nissan in North America has “significantly” more than a 25-day supply of vehicles to help it weather the parts crisis, Tavares said. When the earthquake hit on March 11, Nissan had a 70-day supply of cars.

“Luckily, we had some inventory and a cushion. We expect that the ramp-up will catch up before we reach a point of disruption,” Tavares said.

He said the company expected to be at 50 percent production within a few weeks and at full production by May or June, when it would see if the supply chain could support increased production.

At the time of the March 11 earthquake and tsunami in Japan, Nissan’s inventory was about 45,000 cars above its year-ago level, Tavares said, adding that cushion was expected to last until production increases.

“Hopefully we will not lose momentum or not much momentum,” he said.

So far, the industry and Nissan are gaining a better grasp of the parts shortages, Tavares said. The number of parts the company is closely monitoring has shrunk and there are fewer surprises.

“Parts which were in short supply yesterday are fixed today,” he said. “In some cases, we changed the sources. In some cases, the supplier fixed the plant.”

Nissan was among automakers that moved to relying heavily on single suppliers for individual parts for cost and efficiency. Tavares said he does not expect a big change in auto industry practices because of the parts shortage.

Road Accidents & Compensation

Have you every suffered personal injury from a car accident but never done anything about it? Thousands of people have and what they do not understand is that they are missing out on what is rightfully theirs.

Everyone is entitled to compensation for personal injury that was caused by the negligence of others.
Why Claim?

After suffering from personal injury many will find themselves not being able to carryout their work properly or in many cases at all until fully recovered. Many people have medical bills from the physiotherapy they have to go through when recovering from whiplash injury. With the number of accidents on the road increasing due to negligent drivers within the UK making sure you get the right amount of compensation for your injuries is crucial. Accidents Direct personal injury solicitors are leading lawyers who offer free advice and help you through the whole compensation process. If you are looking for more information please visit their website on