Monday, March 28, 2011

GM parts crunch forces work completed

DETROIT - General Motors co. said Thursday that a lack of parts from Japan, production at the plant to stop next week enforced pickup in Shreveport, La..

It is the first time a U.S. based automaker production in North America, parts lack earthquake and tsunami in Japan was ended after last week.

The Japanese automotive industry remained largely the earthquake hobbled industrial northeast to waste, although some manufacturers announced, resume limited functioning.

Installations for the production of repair or replacement parts will start Toyota, the world's top car maker, on Thursday. However, the company, said that its assembly plants in very Japan on next Tuesday keep closed it would the production of 95,000 vehicles.

GM makes the GMC Canyon, Chevrolet Colorado of small pickups in Shreveport. The company will not say which parts of it shortly on is, but both pickups use a five-speed manual transmission Japanese supplier Aisin Seiki.

GM's other North American plants still not so far affected. GM said it production as soon as possible resume. It has a 70-day supply of two pickups

Ford Motor and Chrysler Group, said that their plants of bottlenecks have affected not.

Traders increasing prices
Movement of popular cars like the Toyota Prius, the car was the disaster many slow. And many traders are already the advantages of the lack of expected to increase prices.

Buyer must now usually to pay sticker prices, instead of enjoying discounts are the norm for small cars and hybrids from Japan were imported. In addition to the Prius, the models include the suddenly more cost Honda insight, fit and CR-V; Toyota Yaris; and several Acuras and Infinitis.

Small cars such as the Yaris, with a sticker price of $12,955 for a base model and the Honda insight, priced at $18,200, lose their typical discounts of 5% to 10%.

The price increases "last weeks if not months," says Jesse Toprak, Vice President of industry trends and insights for TrueCar.com, a website that tracks, what cars for to sell.

Traders trade on the possibility that disruptions in the auto supplies from Japan lead to, a lack of higher demand vehicles that are. Demand will exceed supply.

So she offers sections on these vehicles, Toprak says.

Car buyers numbers rarely sticker price, also known as the EIA or suggested retail price of the manufacturer. Companies offer usually discounts from a few hundred to several thousand dollars from the EIA. Many of you offer low funding.

About all this, it is typically more room for negotiation. Toyota, had such as the bonus on the Prius, plus zero-percent financing offers a $500. And there is a $1,000 discount on the Yaris offered.

In Japan, where automotive industry in the aftermath of the earthquake, tsunami and nuclear crisis has stopped are based many small cars and hybrids.

Before the disaster, traders were a lack of hybrids like the Prius, reporting that had been demand because of higher gas prices. The Prius uses a combination of electric and gasoline power and gets 51 mpg.

'We run of cars'
A month ago, Dave Conant, said his Toyota dealer in San Diego 57 Prius hybrid for sale have. Today, he has three or four. Priuses carry a sticker price of $23,050 for a base model.

"We're going to run cars," he says.

So, he is no longer prepared to do business.

The disaster in Japan all changed. Before the last week had been increased production of Toyota Priuses. Traders wanted to sell as many as possible. But now, says Conant, he and other merchants are no longer prepared, their fuel sell cars for less than the sticker price are.

"We not had five on the floor yesterday, and I know, when I," he says. "The market has moved quickly and dramatically."

Some critics argue that dealers who lack, as a pretext, prices increase Japan disaster, and the threat by car use. Eric Ibara, Director of the remaining price advice for Kelley Blue book, says any price increases on the market are "pure speculation", now that some models face labour shortages.

Toyota declined to comment.

Honda spokesman Jeffrey Smith says that the automaker is the impact of the crisis on the supply of cars Japan review. But now, merchants have enough Japanese imports on page, and there are more on the way, he said.

Infiniti announced prices increases Monday for about half of their models. Buyers will pay more $400 to $950 per model. But Infiniti spokeswoman Paula Angelo says the price increases on the Japan disaster related.

"It is our usual practice to make mid model year price adjustments," says Angelo.

Used car prices
Used cars can be also affected. Higher prices on new cars means higher prices where used, says Tim Jackson, President of the Colorado Automobile Dealers Association. As soon as supplies of small cars and hybrids to tighten up and dealer end negotiations on the price, many customers lower their sights. Cheaper used cars become more attractive.

That higher demand pushes prices.

"Dealer pays more auctions or for repurchases, and it will result in a higher price to the consumer" Jackson says.

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