Nissan Motor Co., Ltd. (TYO:7201) COE Predicts – 2013 as A Growth Year For Automation Industry

Automation industry is going to see an ever time high; this has been expected from the CEO of Nissan Motor Co., Ltd.(TYO:7201) Mr Ghosn further said that 2013 will be turned out as a year of growth with the automation industry predicted to go through a steady growth in the global demand in US as well as several emerging countries. Although he stated that the growth and transpiring effect is quite expected and positive; yet the ongoing debate on US fiscal policy could lead to several uncertainties over the economical growth. He didn’t forget to mention the nagging pain the strength of the Yen had caused and that could lead to further mitigation in his prediction.

Another currency dollar hit to an ever time high in 28 months against the Japanese currency to reinforce to around Y86 in place Y80 in 2012. A stronger yen weakens the cost competitiveness of channels built in Japan in universal markets and bumps the returns earned overseas when repatriated.

He further added that despite the fact that Yen might have weakened, yet that didn’t bring the country into the neutral territory and expected the same happen due from the new Cabinet of Prime Minister who have come to throne. He said that the fall in value of Yen from 120 to 110 could be noticed as a steep drop in the currency actually getting weakened, but a development in the selling process could only help the car makers and boost their earnings!

Mr Ghosn expected that global country such as U.S, China, Brazil and the other budding shocks could result in a growth of 3,4% of the 83Mn vehicles in the year 2013. The growth rate was steady at the rate of 4-5% in 2012. The average growth in China is expected to be similar to that in 2012. Another major question that’s been posed is if Nissan Motor Co., Ltd.(TYO:7201) makers will be able to get the complete benefit from the growth in the market.

The U.S. is further another area of apprehension as the viewpoint of the world’s leading financial system and the financially viable blow on the rest of the globe hinges on the unsolved issue of the fiscal bill!

The shares of Nissan Motor Co., Ltd.(TYO:7201) is up by 1.63% to close at JPY811.00