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Apr 26, 2012

TRUCKS COMPONENTS TROUBLES * WORLDWIDE

* Germany - Auto and Truck Output Threatened by Resin Shortage After Explosion

(Photo by Patrik Stollarz/AFP/Getty Images: Officials are searching for options after a March 31 explosion at chemical maker Evonik Industries AG halved the global source of an ingredient used to make the resin, called PA-12) Marl,Germany -Bloomberg, by Craig Trudell and Mark Clothier -Apr 17, 2012: -- A year after Japan’s tsunami sent global automakers and suppliers into triage mode, another disaster is sending the industry into a search aimed at salvaging this year’s car production... Executives from the world’s largest automakers met today at a summit near Detroit to find alternative sources of resin used to make brake- and fuel-system components. The officials are searching for options after a March 31 explosion at chemical maker Evonik Industries AG halved the global source of an ingredient used to make the resin, called PA-12... At stake is whether automakers can keep assembling cars and trucks after another breakdown in supply chains that are stretched taut around the world to minimize investment and parts inventory. Lost output of parts such as Renesas Electronics Corp.’s semiconductors and paint pigments made by Merck KGaA after Japan’s March 2011 tsunami resulted in disruptions that cost production and sales for automakers around the world... No automaker has announced canceled production yet as a result of the resin shortage, and officials have said they are monitoring their supply chains. GM has a global work team of purchasing and engineering executives looking for alternatives...

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