Thursday, March 17, 2011

Mukhriz: Japan quake may impact auto, L&G, electronics sectors

KUALA LUMPUR: The automotive, liquefied natural gas (LNG) and, electrical and electronics sectors are expected to feel the impact of the earthquake and tsunami that hit Japan last week, said International Trade and Industry Deputy Minister Datuk Mukhriz Tun Mahathir.

He said on Thursday, March 17 several Japanese automotive parts factories and suppliers were located in the areas affected by the natural disasters.

Mukhriz anticipated some Japanese companies operating in Malaysia to face difficulties in obtaining electric and electronic components from Japan.

"Japan is a big economy, the third largest economy after the US and China, what happens in Japan will have some ripple effect on the world," he told reporters after addressing a seminar on "Asean Economic Community and Malaysia's FTA Initiatives".

Mukhriz said the LNG sector was likely be affected by Japan's nuclear energy crisis which could force the country to dig into its reserves.

The ministry is adopting a "wait and see" approach before deciding on revising total trade on the back of a short-term trade slowdown in the coming months, he said.

"It's too early, we are looking at the implications. That's beyond anyone's control and it is also driven by industry," he said.'' - Bernama

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