Japanese tyre producer Bridgestone says the current stratospherically high level of the yen ought not to affect its operations due to the global nature of its business.
The yen is currently trading at around JPY85 to the US dollar, with the manufacturer saying this coul
d rise as high as JPY90, but Bridgestone maintains its worldwide diversification will assuage the export impact – despite 20% of its business being in Japan.
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“We have spread our operations on a global basis [with] subsidiaries not only in Europe but also in the US, Asia, China, the Middle East and Africa, a Bridgestone spokesman in Tokyo told just-auto.
“Our trading is done in US dollars or euros in most cases. This currency issue only affects those who export from Japan to overseas.”
Bridgestone said the current JPY85 trading rate could rise to JPY90 during the second half of the year, but added it tended to project its business on the basis of a strong yen anyway.
The spokesman added it would not be calling on the Japanese government to take action with regard to the high currency level unlike other national bodies.
The Japan Automobile Manufacturers Association (JAMA) recently asked the Japanese government for help as rates “exceed all projections.”
And Toyota recently cited the strength of the yen as making it difficult to export the Yaris and Corolla from Japan.
Bridgestone said it returned to profit in the first half of the year to June and has upgraded its full-year forecast due to growing demand for vehicles worldwide.
The company posted a net profit of JPY44.5bn (US$525m) for the six months, reversing the net loss of JPY38.3bn a year earlier on sales of JPY1.39 trillion, up 15%.
