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In reply to the discussion: Chrysler Said to Add 500 Jobs at Mexico Plant for Engines [View all]coldmountain
(802 posts)How Japan has Maintained
The Most Protected
and Closed Auto Market In
the Industrialized World
1.
Japan, the 3rd largest automobile market in
the world, after China and the U.S., is
also the industrialized worlds most
closed and protectionist market.
x
It ranks 30th out of 30 of the OECD countri
es in measuring access for imported autos;
x
Total auto imports to Japan from the worl
d measure only 3.9% of the market. In other
words, Japanese automakers control 96% of their domestic auto market;
x
Although maintaining the most closed automo
tive market in the industrialized world,
Japan has consistently ex
ported over 40% of its car
and truck production, exporting
nearly 60% (6 of every 10 car
s and trucks manufactured) in
2008, with the majority going
to North America and Europe.
x
Since 2000, US exports to Japan 183,000 versus
16.3 million vehicles exported from
Japan to the United States;
x
These millions of cars as well as automotive parts exported from Japan represented over
70% ($52.1 billion of the
total ($72.7 billion) US-Japan au
tomotive trade deficit in 2008.
In contrast, US automakers have been lim
ited to exporting only 183,000 cars and trucks
to Japan since 2000.
x
By anyones common sense standard whether an economist, policymaker, marketing
specialist, consumer or layman, this is
not evidence of an ope
n market, but a rigged
market.
2.
Japans Closed Market isnt natural or an
accident it was created deliberately, by
government policy.
x
Following the closure and banishment of US
auto firms from Japan during the WWII, US
firms were not allowed to return to
establish operations in its aftermath.
x
Instead, Japans designated th
e creation of a major world class automotive industry its
number one National Industrial
Policy strategy and provided
every benefit, incentive and
protection from compe
tition that it could.
x
In the 1970s, Japan finally opened its market
to limited import participation, lowered its
prohibitive tariffs and investme
nt restrictions, but did so
after it had created a massive
and robust industry and controlle
d nearly 100% of its market.
http://s3.amazonaws.com/assets.clients/aapc/aapc/media/181/Japan%27s%20Protected%20Auto%20Market%20copy.pdf?1327366930
BTW, Japan has the highest debt per capita in the world form buying down the yen to help it's exporters and to discourage imports.
And yeah. how many K-cars did Mercedes and Bmw sell in Japan?