One month has passed since Russia's military invasion of Ukraine, and Japanese companies are reviewing their supply networks, such as stopping local production and preparing for alternative production in another country. The movement is spreading.
Of these, Yokohama Rubber, a major tire manufacturer, has a factory in Russia, but has decided to suspend local tire production for the time being.
Bridgestone has already stopped production at its local factory because it is difficult to secure raw materials such as natural rubber in Russia due to the disruption of logistics.
In addition, JT = Japan Tobacco has decided to cancel sales promotion activities such as new investment and advertising in Russia, which is the main market, and there is a possibility that production will be stopped at four local factories. ..
In addition, Mitsubishi Motors has decided to secure a longer-term inventory of palladium, a rare metal used in catalysts that suppress vehicle exhaust gas, as Russia is one of the world's leading producers.
On the other hand, companies with factories in Ukraine are in full swing for alternative production in other countries.
Sumitomo Electric Industries and Fujikura, which locally produce wire harnesses for automobiles, are preparing to produce them at factories in Morocco and elsewhere.
One month has passed since Russia's military invasion of Ukraine, and with growing concerns that the fighting will be prolonged, the movement by Japanese companies to review the supply network is likely to spread further.