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Japan could consolidate to three automakers by 2020

Sergio Marchionne might see his dream of big mergers in the auto industry become a reality, and an analyst thinks Japan is a likely place for consolidation to happen. Takaki Nakanishi from Jefferies Group LLC tells Bloomberg the country's car market could combine to just three or fewer major players by 2020, from seven today. "To have one or two carmakers in a country is not only natural, but also helpful to their competitiveness," Nakanishi told Bloomberg. "Japan has just too many and the resources have been too spread out. It's a natural trend to consolidate and reduce some of the wasted resources." Nakanishi's argument echoes Marchionne's reasons to push for a merger between FCA and General Motors. Automakers spend billions on research and development, but their competitors also invest money to create the same solutions. Consolidating could conceivably put that R&D money into new avenues. "In today's global marketplace, it is increasingly difficult for automakers to compete in lower volume segments like sports cars, hydrogen fuel cells, or electrified vehicles on their own," Ed Kim, vice president of Industry Analysis at AutoPacific, told Autoblog. Even without mergers, these are the areas where Japanese automakers already have partners for development. Kim cited examples like Toyota and Subaru's work on the BRZ and FR-S and its collaboration with BMW on a forthcoming sports car. Honda and GM have also reportedly deepened their cooperation on green car tech. After Toyota's recent buyout of previous partner Daihatsu, Nakanishi agrees with rumors that the automotive giant could next pursue Suzuki. He sees them like a courting couple. "For Suzuki, it's like they're just starting to exchange diaries and have yet to hold hands. When Toyota's starts to hold 5 percent of Suzuki's shares, this will be like finally touching fingertips," Nakanishi told Bloomberg. "I absolutely do believe that we are not finished seeing consolidation in Japan," Kim told Autoblog. Rising development costs to meet tougher emissions regulations make it hard for minor players in the market to remain competitive. "The smaller automakers like Suzuki, Mazda, and Mitsubishi are challenged to make it on their own in the global marketplace. Consolidation for them may be inevitable." Related Video:

Daihatsu unveils 2021 Tokyo Auto Salon lineup

The Tokyo Auto Salon has been canceled for 2021 because of — you guessed it, COVID-19 — but that hasn't stopped Japan's carmakers from building some wild concepts for the event. First to reveal their lineup is Daihatsu, who brings a five-pack of whimsical kei cars to the party. For driving enthusiasts, perhaps the most compelling is the Copen Spyder Ver. The most notable thing about the standard Daihatsu Copen is the fact it utilizes a spaceframe structure that lets you easily swap out body panels to create different looks and colors for your compact roadster. This look mixes the retro look of the Copen Cero with a speedster-style half-windshield, headrest fairings, and Volk Racing TE37 wheels. However, it's not the only race-themed kei car here. The Hijet Sporza Ver. takes the same speedster concept and applies it to an otherwise mundane delivery van. It receives a chopped roof, half-windshield, and headrest nacelles too. But, Daihatsu also keeps a sense of humor about the van. The kanji on the door says "Laguna Fruits and Vegetables," a reference to Laguna Seca Raceway and the fact that these types of trucks are most often seen on the farms of rural Japan. Overlanding has been the hot topic at recent SEMA shows, so it only makes sense that Daihatsu would capitalize on the trend with a Hijet Jumbo Camper Ver. The retro design is a tribute to the second-generation Hijet, but upgraded with LED lighting, a safari rack, and bed canopy. Who's the boxy SUV that's a hit with all the outdoorsy lifestyle millennials? Taft. Who's the Daihatsu mini-crossover outfitted with rugged off-road tires? The Taft Crossfield Ver., you're damn right. Who's the kei car with a safari rack, light bar, winch and recovery points? You know I'm talkin' about Taft. Apologies to Issac Hayes. Lastly, the Daihatsu Thor Premium Ver. D-Sport is a more traditional custom. Based on the Thor kei car, it gets blingy wheels, a roof spoiler, suspension job, and a snazzy aero kit. It probably doesn't get much in the performance department due to the kei class's horsepower restrictions to 63 horsepower, but its superb space maximization and vaguely VIP-ish look would help you cruise crowded cities in comfort and style. It's not clear when the public will be able to see these cars in person but Daihatsu plans to show them at the Virtual Auto Salon in early January. Featured Gallery Daihatsu Tokyo Auto Salon 2021 Tokyo Auto Salon Daihatsu

Toyota outsells VW for global sales crown, apologizes with a vow to 'be honest'

Toyota Chairman Akio Toyoda bows in apology during a press conference Tuesday over the group companies' quality scandals. (Getty Images)   Every quarter, the stock market hangs on how much sales growth Tesla and other startups have experienced. There's growth, but then there's sheer output, and when it comes to deliveries dominance, one company can't be touched. Toyota on Tuesday announced that it remained the world's top-selling automaker for the fourth year running, with record sales of 11.2 million vehicles in 2023. Toyota's global group sales jumped 7.2% last year; the numbers include sales at Daihatsu and truck unit Hino Motors. Toyota's parent-only vehicles, which include the Toyota and Lexus brands, hit a record of 10.3 million vehicles in 2023. Gasoline-electric hybrids made up about a third of those. Battery electric vehicles accounted for less than 1%. Toyota's annual output handily beat runner-up Volkswagen Group, which this month reported a 12% rise in deliveries last year to 9.2 million cars. That growth was driven largely by demand for Audi, which sold 1.9 million vehicles. The auto industry in 2023 enjoyed a post-pandemic recovery as supply chain bottlenecks eased, though shipping problems through the Red Sea so far this year have stalled that progress by some automakers, causing some car plants in Europe to suspend production. Toyota's global group sales have now topped 10 million vehicles for nine of the past 10 years, except for 2020 when the COVID-19 pandemic delivered a blow to the auto sector. Scandals and an apology Toyota's chairman apologized on Tuesday for scandals at the three group companies. Daihatsu, Hino and affiliate Toyota Industries have been beset by governance issues involving certification test procedures for cars and engines that could potentially hurt the brand's global reputation for quality and safety. "I would like to express my deepest apologies to our customers and stakeholders for the inconvenience and concern caused by the successive irregularities at Hino Motors, Daihatsu and Toyota Industries," Toyota Chairman Akio Toyoda told reporters. He was speaking at an event to announce a vision for the Toyota group, which was founded by his great-grandfather and now includes 17 companies.