Industry ministry plans Thai flood support

Japan's industry ministry says it will urgently study ways to help disaster-hit Japanese firms in Thailand obtain much-needed short-term funds.

The ministry launched a task force on Friday, after Prime Minister Yoshihiko Noda instructed it to study assistance in response to the massive floods in Thailand.

Industry minister Yukio Edano said the disaster could have a major impact on the entire global economy, due to disruptions in supply chains. He told officials to gather information and take all necessary steps.

A ministry official reported that, among the roughly 1,800 Japanese firms in Thailand, more than 400 have suffered flood damage.

The official said automakers and electronic appliance makers have been forced to suspend production, as their plants have been inundated or halted due to parts shortages.

The official said some of these companies have no immediate prospect of resuming operations and many are asking for help to meet their short-term funding needs.

Friday, October 21, 2011 19:42 +0900 (JST)