Report: Japanese tsunami led to 3-6% higher transaction prices for certain cars
 

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The earthquake and tsunami in Japan wreaked havoc on the automotive supply chain. Toyota, Honda and Nissan lost many thousands of units to the natural disaster, which meant that car buyers here in the U.S. sometimes had a difficult time finding and buying certain vehicles. We know how these disruptions hurt sales, but a study conducted by ALG shows that prices were also shifted because of the shortage of key vehicles.

ALG predicted that a 20-day production disruption would lead to 1.5-percent higher prices, and when production stoppage reaches 100 days, the anticipated spike in prices could be up to 10 percent. So, how'd it turn out in reality?

The study looked at the Nissan Rogue and the Honda Fit. ALG found that Rogue production was back up and running by May, and the CUV went up in price by three percent by June. That's a significant margin, especially when compared to the overall CUV price increase of .3 percent during that time.

The Honda Fit was even harder to find between March and June, and the numbers bear this out. The price of the Fit jumped by 5.6 percent during that time. The compact segment as a whole jumped by a still significant 2.3 percent during that time frame.

Hit the jump to read over the ALG press release.Continue reading Japanese tsunami led to 3-6% higher transaction prices for certain cars

Japanese tsunami led to 3-6% higher transaction prices for certain cars originally appeared on Autoblog on Tue, 27 Dec 2011 10:59:00 EST. Please see our terms for use of feeds.



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