Own A Car?

Then you should be aware of the supply chain disruptions coming down the pike due to the Japanese earthquake and tsunami.

A CNBC article explains:

"Because parts and supplies are shipped by slow-moving boats, the real drop-off has yet to be felt by factories in the U.S., Europe and Asia. That will come by the middle of April.

"This is the biggest impact ever in the history of the automobile industry," says Koji Endo, managing director at Advanced Research Japan in Tokyo.

Much of Japan's auto industry — the second largest supplier of cars in the world — remains idle. Few plants were seriously damaged by the quake, but with supplies of water and electricity fleeting, no one can say when factories will crank up. Some auto analysts say it could be as late as this summer.

Hitachi Automotive Systems, which makes parts such as airflow sensors and drive control systems, is waiting for its suppliers to restart while dealing with its own problems. Its plants are without water and gas, and have rolling electricity blackouts. Workers are repairing crumpled ceilings, fallen walls and cleaning up shattered glass. A spokesman says he doesn't know when its plants will reopen."(CNBC)

The result? You're going to see material increases in the prices of new and used cars and parts over the coming weeks. All auto manufacturers, not just the Japanese, are being affected. If you've been putting off a car purchase or repair, you should probably not delay any longer.