Earthquake_Occurrence_in_Japan_-_Damage_Condition

Earthquake occurrence in Japan - damage condition : Japan, Korea’s neighbor, is going through an unprecedented catastrophe as an earthquake and tsunami. On March 11th, 2011, Japan faced the most powerful earthquake that they ever recorded. The earthquake reached up to magnitude to 9.0. Also, tsunami has struck on the north-east of Japan. Japan had terrible outcomes. Due to the 9.0 magnitude earth quake, nearly 26000 people were dead or missing. This death rate was continued to increase its number. In addition, All man-made things were destroyed by the strong tsunami waves. Transportations were swept away, and nuclear power plant‘s pressure has exceeded its normal levels. Many Japanese lost their properties as well. Many provinces in northern Japan has damaged after the earthquake was caused. After the earthquakes in Japan, many countries, such as Russia, Indonesia, New Zealand and Chile were the extended to a tsunami warning. And, the intangible aftershocks just keep on coming so far. Effect on world economy & international financial market - Effect on South Korea economy : The March 11 earthquake and tsunami in Japan is seen as having a limited, short-term impact on the Korean economy despite having disrupted parts supplies for automobile and electronics makers. In fact, while Korean economy remained unaffected in general, some sectors were affected in the short term. The country’s exports to Japan jumped by more than 51 percent during the March 12-29 period despite concerns that trade may be disrupted by the unexpected disaster. Imports of parts and supplies from Japan remained relatively stable, having grown 12.4 percent on-year, despite worries over disruption from suspended factory operations in Japan. Some manufacturing companies in Korea are heavily dependent on Japan as a major supplier of intermediate goods, which could lead to difficulties in production. For example, difficulties experienced by Japanese carmakers and those that rely heavily on Japanese parts led to gains for those with little reliance on Japan’s auto parts makers including Hyundai Motor Co. and Ford Motor Co. Actually, according to the carmakers, Renault Samsung Motors Co. cut output by 20 percent during April due to a parts shortage caused by the disasters in Japan. However, Hyundai and Kia Motors Corp.’s combined March sales increased 37 percent from a year ago in the U.S. market.  | On the other hand, steelmakers and oil refiners especially have gained from the natural disaster on elevated relative competitiveness compared to those of Japan. POSCO’s share price jumped 10 percent in 10 days of trading after the earthquake; Hyundai Steel, Korea’s No. 2 producer after POSCO, was up 11 percent.