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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:

2016 Honda HR-V First Drive [w/video]

Compact crossovers are all the rage right now, and the 2016 Honda HR-V enters the marketplace at a crucial time. This class only had three or four entries just a year or two ago, and the number of players should double this year. That equates to an estimated 236,000 sales of B-segment CUVs in 2015, more than twice last year's sales, according to AutoPacific data. Honda joins a growing list of automakers looking to cash in on expanding sales. Fiat-Chrysler has its adorably Italian Fiat 500X and tiny-tough Jeep Renegade siblings. Chevy brought its small Trax to the US market from abroad. The Nissan Juke carries on with oddball styling and zippy dynamics. And the small-boxy class sales king Kia Soul could add all-wheel drive model to further increase its appeal. The HR-V doesn't break any new ground here. It starts with the Swiss Army Knife packaging of the Fit hatchback, then adds a more powerful engine, increased ground clearance, and all-wheel drive. It's nothing revolutionary, but that's not a bad thing. In typical Honda style, the beauty lies in the execution. What we have here is an attractive, compact crossover. It looks like a puffed-up Fit, or Honda Fat if you will. At 169.1 inches in length, the HR-V is more than a foot longer than the Fit (and almost nine inches shorter than the original CR-V). But with clean, taut lines that sculpt the body sides the HR-V is anything but bloated. We particularly like the integration of the rear door handles into the C-pillar. This thing is cute, especially with the rounded nose and chiseled rear end. And the chunky, five-spoke, 17-inch alloy wheels we like so much are standard even on the base model. There are a couple of weird bits to the styling. Like the way the hood cutline spills over to the front quarter panel and the oversized, fang-shaped taillamps. But overall the HR-V looks great. It has more modern appeal than the Trax, and while the 500X and Renegade are more interesting to our eyes, the HR-V has plenty of pizzazz for folks afraid of flamboyance. That reserved charm carries on in the interior. Like the exterior, the cabin is a safe kind of stylish. Materials include a mix of fabrics and plastics on the doors, plus obligatory soft-touch surfaces abound because, you know, we're all in the habit of squeezing dashboards these days. The row of three vents in front of the passenger seat looks nice, and there's added storage underneath the center console.

2017 Tokyo Motor Show | Mega Gallery

The 2017 Tokyo Motor Show has been a big and busy one. It's also had machinery ranging from beautiful to bizarre. But there's been something for everyone. Companies such as Honda and Subaru brought performance oriented vehicles, Toyota showcased a wide array of funky and practical concepts, and Yamaha even broke away from motorcycles to do another car concept. You can check all of these vehicles out, and more in the galleries below. 2018 Honda Gold Wing: View 5 Photos Honda Neo Sports Cafe Concept: View 5 Photos Honda Riding Assist-e Concept: View 7 Photos Honda Sports EV Concept: View 5 Photos Honda Super Cub: View 3 Photos Isuzu FD-SI and Elf EV: View 9 Photos Lexus LS+ Concept: View 18 Photos Mazda Kai Concept: View 18 Photos Mazda Vision Coupe Concept: View 15 Photos Mitsubishi e-Evolution Concept: View 8 Photos Nissan IMx Concept: View 29 Photos Nissan Leaf Nismo Concept: View 8 Photos Subaru Viziv Performance Concept: View 12 Photos Toyota Century and Crown: View 7 Photos Toyota Concept-i Series: View 16 Photos Toyota GR HV SPORTS Concept: View 6 Photos Toyota Tj Cruiser: View 12 Photos Yamaha Concepts (Cross Hub, MOTOROiD, MWC-4, Motobot): View 5 Photos Related Video: Tokyo Motor Show Honda Isuzu Lexus Mazda Mitsubishi Nissan Subaru Toyota