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Chengdu auto production shut down after earthquake

George Gao From Gasgoo.com| May 15 , 2008 15:11 BJT

Shanghai, May 15 (Gasgoo.com) The 7.8 earthquake on Monday (May 12) in the Chengdu area of Sichuan has shut down production of local and JV auto makers there. The Changan, Toyota, VW and other plants were evacuated during the day. The earthquake has claimed a death toll of more than 12,000 people, thus making the evacuations and work suspension at the factories a must choice for safety.

The Toyota plant (the plant produces the Prado SUV and Coaster mini bus) decided to cancel one shift on Tuesday to inspect damage to the factory, whilst the Chang'an Mazda, Ford, and Chang'an Motors factories were evacuated for the day. A FAW-VW plant was also evacuated. Nissan, G.M. and Honda operations in Sichuan were apparently not effected by the quake.

Volkswagen AG has stopped production at its China facility in Chengdu. The earthquake has not resulted in any visible impact on the production facility, which is owned by VW's joint venture firm China FAW Group Corp and produces 24,000 Jetta models annually. The facility is being examined thoroughly and it is not known when production will resume. Yamaha Motor Co., the world's second-largest motorcycle maker, resumed production at a parts factory in Chengdu this morning.

Nissan Motor Co., Ltd has pledged 15 million yen (1,014 million yuan, or $145 million) to the Red Cross Society of China. The money is to aid emergency relief efforts in Sichuan following the aftermath of the massive earthquake. Nissan's joint-venture partner in China, Dongfeng Motor, simultaneously announced the donation of 10 Qashqai crossovers to support relief activities.

At least 12,000 people are currently known to have died in the quake of magnitude 7.8, and at least a further 25,000 are unaccounted for. The all-out relief efforts by the military forces and civilians are still underway.

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