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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:

Who can really claim first mass-produced fuel cell vehicle delivery in US?

Last month, Hyundai said that the initial deliveries of the Tucson Fuel Cell vehicles in California meant that, "For the first time, retail consumers can now put a mass-produced, federally-certified hydrogen fuel cell vehicle in their driveways." But try telling that to Jon Spallino. In 2005, Honda leased a hydrogen fuel cell FCX, a small hatchback, to the Spallino family (as far as we know, he parked it in his driveway). The company did the same thing again in 2008 with the FCX Clarity, a sleek new design based on the FCX Concept, and others signed for the H2 ride as well, including celebrities. No matter how you slice it, Honda has been in the fuel cell delivery market for almost a decade now. Just look at this. Or this. Or this. Oh, and other automakers (General Motors in Project Driveway in 2006 and Mercdes-Benz with the F-Cell in 2010, for example) have delivered fuel cell vehicles in the US as part of short-term test programs. But let's get back to Hyundai's claim. There's little question that the first delivery of a "fuel cell vehicle for the US market" has already taken place (and they were federally certified, too), which means that the debate revolves around the definition of mass-produced and whether "mass production" is about a number or about the process? Let's investigate below. First, lets review Honda's bona fides. We can start with the official version of Honda's fuel cell history, which is missing the pertinent detail that Honda build the Clarity on a dedicated assembly line and established a small network of three dealerships to lease the FCX Clarity in 2008. All of the FCX Clarity vehicles in customer hands in the US were leased through these dealerships. Sure, Honda started with hand-built stacks in its hydrogen vehicles, but went to automated control of some parts and components with series production. "It is good to see others doing today what we've been doing since 2008" – Steve Ellis, Honda Or, as Honda's Steve Elllis put it to AutoblogGreen regarding Hyundai's fuel cell deliveries: "This was exactly as prescribed by the creation of the California Fuel Cell Partnership. It's the very essence of 'co-op-itition.' We at Honda, as do many others, continue to push forward on many technologies, both the battery and the fuel cell. And society is the beneficiary." Then he added, "It is good to see others doing today what we've been doing since 2008." Now, how does Hyundai compare?

Honda S2000, Acura RSX recalled over brake boosters

Honda has announced a recall that affects two of our favorite, dearly departed cars from the brand's portfolio: the S2000 roadster and Acura RSX coupe. A total of 5,239 S2000 models from the 2006 and 2007 model years are affected by this problem, as are 13,113 2006 Acura RSX models.
"A production error may have allowed brake booster components to be produced outside of the original specifications, potentially causing decreased brake assistance over time, which could increase the risk of a crash," American Honda said in a press release. Thus, dealerships will inspect and, if necessary, replace the brake booster setups in these vehicles, free of charge.
No crashes or injuries have been reported in relation to this brake problem. Honda says the problem was discovered during warranty claim analysis.