Tech firms feel heat as Japan disasters hit gadget supplies

19 Mar 2011

1

The unfolding nuclear crisis in Japan following the destruction brought about by the tsunami and earthquake has led to shortages of technology gadgets for both manufacturers and consumers alike across the world.

The immediate toll is on the electronic goods and automobile parts. Japan is a key supplier of electronic components as well as a major manufacturer of consumer electronics. It also supplies key automobile components to companies worldwide.

Japanese companies supply many components that form the core of high-tech gadgets such as PCs, smartphones and the Apple iPad.

The tsunami and the quake followed by the nuclear crisis have affected production and disrupted supplies of many of those parts.

While it is difficult to quantify the extend of disruptions worldwide, the shortfall in gadget supplies is expected to affect technology industry worldwide.

Part of the shortage can also be attributed to panic buying by manufacturers of electronic goods in their bid to avert an inventory shortfall. This has also led to price swings in the spot market.

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