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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:

Miata driver pulls off hilariously diabolical move in fender-to-fender racing

Racing is all about finding the little advantages over competitors that allow you to get ahead. Sometimes those are legitimate means - like being able to take advantage of a better line through a corner - and other times drivers get a little more creative for a leg up over opponents. Sometimes things might even go a little too far. Case in point: just watch the opening of this Mazda MX-5 Cup race from Silverstone in the UK.
According to the YouTube description, we're riding with James Rogers in this video, and he appears to be pretty talented behind the wheel. Rogers has a great start from fifth that has him in third within just a few corners. He starts stalking the top two drivers, who are already having a fantastic race themselves, but then we see that the person in second is clearly willing to do whatever it takes to win. Just watch the video, and you'll see what we mean. Bravo (?) to that racer for some very quick, albeit fiendish, thinking.

Mazda CX-3 almost ready for LA Show

The Mazda CX-3 is just days away from its unveiling at the 2014 Los Angeles Auto Show, but elsewhere in the world, the Japanese brand still has the compact crossover disguised for testing. These spy shots aren't too camouflaged though, and when combined with the previous teaser image, they give a pretty clear idea what the new model will look like.
The grille here is well covered, but the photo from the front reveals the similarities to the design sketch. The rear shows a similar horizontally oriented design as the Mazda2, which the CUV is based on. However, the dipping sides around the B-pillar from the teaser don't appear to be on this tester. Even with all the swirls, the vehicle looks fairly attractive.
Mazda is doing a fantastic job of keeping mechanical details about the CX-3 a secret. It's not yet known whether the model is front-wheel-drive only or if all-wheel drive is also an option. The crossover also likely shares the Mazda2's engine, which isn't revealed for North America, yet. The diminutive CUV will compete with a huge crop of new classmates, including the Fiat 500X, Jeep Renegade, Chevrolet Trax and Honda HR-V. Check out the gallery for the latest glimpses of this Japanese CUV just days ahead of its full debut.