It may take some time before the earthquake and tsunami that struck Japan in March 2011 really affects America’s car industry, but when it does, here are some things you can expect to happen. Since there were several parts suppliers that got wiped out by the earthquake, there will be less inventory at Japanese car showrooms, in turn, reducing inventory in the United States, which is supplied by Japan. The popular Toyota Prius and other Japanese hybrid cars are already experiencing scarce inventory.
In addition, there could be an increase in the demand for used cars. Used car prices may rise this summer if the demand increases. However, this could be good news to those looking to trade their old vehicle for a new car. Finally, a buying frenzy for American cars may occur. There was a large recall on Toyota cars recently, putting the Ford Motor Company in the spotlight. It looks like 2011 may be a good year for Ford, Chevy and Chrysler and other American car makers.