01 Sep '11, 6pm

#asia #supplychain Auto sales in Asia on the road to recovery - Channel News Asia

SINGAPORE: Over the early part of this year car sales in Asia did poorly, dragged down by supply chain constraints from Japanese factories hit by the earthquake and worsened with rising fuel prices in the first four months. Fuel prices, rose 24.4 per cent from the start of the year till the end of April, but have came down 22.6 per cent since then. Fast-forward into the second half of the year, Barclays Bank said auto sales are gearing-up again, as labour and skills shortages drive up wages. Leong Wai Ho, Economist with Barclays Capital, said: "After a number of weak months in the second quarter, we have not seen (the numbers falling) at the same pace and it has sort of stabilised. It seems to be indicating maybe a partial rebound." Japanese plants are recovering fast, and more cars are rolling off the assembly line to meet pent-up demand. An important effect of the recove...

Full article: http://www.channelnewsasia.com/stories/singaporebusinessn...

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