Quake in Japan's 'Silicon Valley' disrupts car, chip supply chains
A powerful earthquake that struck southern Japan this week has exposed the vulnerability of the country's manufacturing supply chains. Tuesday's 7.1-magnitude quake killed at least 34 people and halted factories in a key auto and chip manufacturing hub.
A powerful earthquake that struck southern Japan this week has exposed the vulnerability of the country's manufacturing supply chains, a decade after a devastating quake in the same region triggered widespread industry disruption. Tuesday's 7.1-magnitude quake killed at least 34 people, ruptured roads and cut off utilities to thousands of households.
The quake brought factories to a halt in an area critical to Japan's auto industry and known as the country's 'Silicon Valley' due to its concentration of chip manufacturing. Manufacturers are still assessing damage, and it remains unclear when production lines will resume.
Analysts say the disruption could ripple through global chip and automotive supply chains. A similar quake in the same region a decade ago caused industrial disruption that lasted for months.
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