Recent Typhoon Affects Vehicle Makers' Production Schedules

Taipei, Aug. 25, 2009 (CENS)--Typhoon Morakot may have caused a possible shortage of parts from makers in southern Taiwan, major powered two-wheeler (PTW) and carmakers in Taiwan have decided to adjust production schedules.

With floods and landslides hitting many parts of southern Taiwan, home to the major producers of auto and motorcycle parts, some auto and PTW makers have even sent employees to help in the cleanup to restore parts production as soon as possible.

All the top-three PTW makers in Taiwan, including Kwang Yang Motor Co., Ltd. (KYMCO), Yamaha Motor Taiwan Co. (Yamaha) and Sanyang Industry Co., Ltd. (SYM) are adopting flexible production according to parts-supply conditions.

According to vehicle makers, Right Way Industrial Co., Ltd., one of the largest first-tier engine piston suppliers to vehicle makers in Taiwan, and Elitech Technology Co., Ltd., a major auto parts supplier and precision mold/die developer, need three to four weeks to restore production due to flooding of facilities in southern Taiwan.

Senior managers at PTW makers also pointed out that they have placed urgent orders to other piston suppliers and stopped production of some models.

Kwang Yang spokesman Chen Fu-an said the firm has stopped production of one to two models. The firm plans to do overtime to offset decreased production after getting ample and stable supply of key parts.

Senior managers at Yamaha Taiwan said his company is on single-line production this week and would keep flexible production over the next few weeks.

Honda Taiwan Motor Co. and Kuozui Motors Ltd. announced production shutdown from August 21 to 30.