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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:

Fourth-gen Mazda MX-5 Miata could get turbo power later in life

While there's a lot to love about the new Mazda MX-5 Miata, its debut was met by a vocal group of enthusiasts who derided the fourth-generation roadster's reduction in power output. The new model only puts out 155 horsepower, down from 167 in the NC. A report from Australia, though, claims Mazda may yet address the less potent output of the ND. Things started earlier this year, as Motoring.com.au tells it, when Mazda's global PR boss, Kudo Hidetoshi, hinted that a turbocharged or Mazdaspeed model "will definitely" be considered. Then last month at Goodwood, the ND's program manager, Nobuhiro Yamamoto, said complainers were welcome to get their thrills elsewhere. Recognizing this contradiction among Mazda's brass, Motoring asked Yamamoto-san again about his statements, which he seemed to walk back. "It's not a conflict [between statements made by Yamamoto and Hidetoshi]," Yamamoto said, indicating that his statements were made in relation to the new MX-5's launch. "Kudo-san talked about this in terms of a 10-year lifespan, but when I was asked the question right after the launching of the ND, I said 'we have no plan to have a turbo at that point in time.' That is what I meant." Seeking an opening, Motoring pushed the Japanese engineer on the chances of a more potent MX-5, perhaps without a turbocharger. "If you could achieve what we want, to which is great response, very light and powerful with great performance feel with natural aspiration, then we don't need a turbo," Yamamoto said. "But if we want more power because we don't get satisfied with natural aspiration then we may think about the turbo." Related Video:

Lexus, Mazda win KBB 5-Year Cost To Own Awards

We focus a lot on what new cars are like to drive, but it's difficult on a one-week loan to really get a sense of what a car is like to live with. Sure, we try to recreate that sense with our long-term vehicles, but even after a year, it's impossible to know fully learn about a car, particularly in terms of reliability and cost of repairs. For 2014 model year vehicles, Kelley Blue Book has put together a list of the most affordable vehicles over a five-year period.
At the tippy top of the list are Mazda and Lexus, with the Zoom-Zoom automaker winning the award for best non-luxury brand. Lexus, meanwhile, was the most affordable luxury marque over a five-year period. It's interesting to note, though, that not a single Mazda won its segment in this year's awards.
General Motors did quite well, taking eight segments, including both the subcompact and plug-in segments, with the gas-powered Chevrolet Spark and Spark EV. The Chevy Camaro SS and ZL1 took the high-performance car award. Toyota was well represented, with five winners split between the main brand (Corolla, Prius C and Tacoma) and Lexus (LS and RX).