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The earthquake and tsunami that struck Japan, costing thousands of lives and leaving terrible devastation in their wake, have had a serious impact on the international car transportation industry. Japanese car manufacturing plants have mostly been closed since the catastrophe due to power shortages and challenges to logistics. Experts estimate that this lack of production has cost Japan around 300,000 car units, 150,000 of which would have been shipped overseas by car transportation companies. For car transportation companies shipping from Japan, the loss of business has been significant.
And it’s not only a loss of cargo affecting the industry: according to a leading car transportation company, a number of Japanese ports used for car transportation were affected and any exports now have to be done through a reduced number of terminals. Due to the inhibited car and component production in Japan, car manufacturing plants across the globe have also had to cut back their production levels, which has immediate consequences for the car transportation industry. Furthermore, with significantly less cars produced in Japan, Europe, and North America, it’s only a matter of time before car transportation companies see large business losses depending on how quickly Japanese car component manufacturing plants can resume production.