Japanese Automakers Plan To Rely On Cheaper Chinese Parts To Cut Costs

Japanese automakers plan to increase their reliance on China-made auto parts to cut production costs in the country.

As competition in China became tougher Japanese automaker are not able to keep pace with the local manufacturers such as Geely. As more and more customers turn to the dub-$10,000, no-frills vehicles, this segment has become a real battleground for the automakers, as analysts predict it will increase 40% in the following two years.



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HughJass - 4/19/2013 4:26:54 PM

-1 Boost

Great. Lead brake pads and BPA interiors. They must be trying to raise the recall count.

USNA1999 - 4/19/2013 4:41:53 PM

-1 Boost

Lexworld will Akio Toyoda jump in the badwagon as Honda and Nissan in China? Lexuses built in Kentucky? WTH is going on? Hopefully, quality won't suffer;)

Fijian - 4/19/2013 9:47:33 PM

+2 Boost

Gotta love it.The Chinese are making the Bay Bridge in San Francisco. Many of the main Bolts that hold up the Bridge (New Span) have already broken and the bridge is not even open yet. What will happen when there is thousands of traffic on it?

Agent009 - 4/22/2013 8:47:28 AM

-1 Boost

All about supply, demand, and costs

Consumers want more and more and refuse to pay for it
Investers want more profit with less investment.

They only way is to go cheaper price on the parts.

thetruth01 - 4/22/2013 5:04:13 PM

+3 Boost

read the article. its about locally sourced parts for local products, not Chinese parts coming to America for Kentucky built Camrys. Although that's what GM does.

HughJass - 4/22/2013 6:21:33 PM

+1 Boost

Local sourced parts just means it'll take a bit longer before they start shipping them here. If you think otherwise, then you probably think the Bay Bridge is actually cheaper to build than hiring lazy Americans.

Disgusting that the Chinese contract now has equalled the price of the American contracts.