Japanese Automakers Tell Government They Can't Compete Without Artificial Control Of The Yen

Japan's auto lobby on Friday urged the government and the central bank to quickly implement measures to counter the strong yen, after it hit a seven-month high against the dollar the previous day.

The currency has strengthened to under 78 yen per dollar from more than 120 yen five years ago, making it more expensive to export goods and squeezing Japanese automakers' margins.

Car firms also face costly labour regulations, high corporate taxes and an energy policy deadlock after last year's Fukushima crisis that led to a shutdown of most of the country's nuclear reactors, the trade group says.

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dlin - 9/14/2012 3:35:19 PM

+1 Boost

They already have. The only thing is they cannot out-print American on money.

quizz - 9/15/2012 2:37:23 AM

+1 Boost

It's a race to the bottom, for all currencies. China will have to also let its currency fall if it wants to maintain exports.

HughJass - 9/15/2012 8:51:04 PM

+1 Boost

Atleast they admit they need gov't interference, now if only the Koreans would man up and admit they can't compete except on price.

The lower the dollar goes, the better for exports and manufacturing jobs just might come back if it costs too much to make it outside the U.S.

Pffft, last time our credit rating went down, China kept on loaning us money because they need us to buy their garbage or else their people will be out of jobs. Too bad they're too stupid to see what happened to Japan when they decided to tie their exports and future to whether or not we decide to buy from them. Robots, that's all they are.