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Will the Mazda2 be offered as a PHEV with a rotary engine range extender?

Every few months, it seems a rumor crops up about plans from Mazda to revive the rotary engine. Last November, its CEO said the only way another one could happen is if the project was profitable, and then a month later the automaker showed off the Mazda2 RE Range Extender with a 330cc Wankel engine mounted in the rear. Now, Australian auto site Motoring reports that the PHEV may actually make production in the next-gen Mazda2 sometime after it's initial launch.
Martin Benders, managing director of Mazda in Australia, spoke to Motoring about the company's future with hybrids and basically reiterated what the CEO said last year. The Japanese automaker only plans to offer electrified powertrains in places where they can sell in sufficient numbers to be profitable, like Japan.
Mazda has been playing with the rotary range-extender idea for years. In the RE prototype, the engine was exclusively used to charge the lithium-ion batteries when they were running low, and a 100-horsepower electric motor provided all of the propulsion. It gave the little hatch an estimated range of about 250 miles. The company reportedly took inspiration from its Skyactiv engines to make the Wankel have lower friction and a lighter weight.

Japan may aid carmakers facing U.S. tariff threat

TOKYO — Japan is considering giving carmakers fiscal support including tax breaks to offset the impact from trade frictions with the United States and a sales-tax hike planned for next year, government sources told Reuters on Wednesday. Going into a second round of trade talks with the United States on Sept. 21, Japan is hoping to avert steep tariffs on its car exports and fend off U.S. demands for a bilateral free trade agreement that could put it under pressure to open politically sensitive markets, like agriculture. "If the trade talks pile pressure on Japan's car exports, we would need to consider measures to support the auto industry," a ruling party official said on condition of anonymity because of sensitivity of the matter. The auto industry accounts for about 20 percent of Japan's overall output and around 60-70 percent of the country's trade surplus with the United States, making it vulnerable to U.S. action against Japanese exports. Japan's biggest automakers and components suppliers fear they could take a significant hit if Washington follows through on proposals to hike tariffs on autos and auto parts to 25 percent. Policymakers also worry that an increase in the sales tax from 8 percent to 10 percent planned for October 2019, could cause a slump in sales of big-ticket items such as cars and home. Prime Minister Shinzo Abe has twice postponed the tax hike after the last increase from 5 percent in 2014 dealt a blow to private consumption, which accounts for about 60 percent of the economy. To prevent a pullback in demand after the tax hike, the government may consider large fiscal spending later when it draws up its budget for next year, government sources said. "One option may be to greatly reduce or abolish the automobile purchase tax," one of the government sources said. The government is also considering cuts in the automobile tax and automobile weight tax to help car buyers, the source added. Reporting by Izumi Nakagawa and Tetsushi KajimotoRelated Video: Image Credit: Getty Government/Legal Isuzu Mazda Mitsubishi Nissan Subaru Suzuki Toyota Trump Trump tariffs trade

Alfa Romeo takes Spider in-house, Mazda-Fiat roadster partnership not dead

It's officially off. Following a report in March of this year that the marriage of Mazda and Alfa Romeo to produce a MX-5-based Spider was in trouble, the Italians have confirmed that it will take development in-house. "As far as the Spider goes, the final version is of course no longer the two-seater FCA co-developed with Mazda but a derivative of Project Giorgio," Maserati and Alfa Romeo brand boss Harald Wester told Car. For those not in the know, Project Giorgio is Alfa's codename for the rear-drive platform that will underpin the next-generation Spider, not to mention the replacement for the 159 sedan and a few other products. All is not lost for the Japanese-Italian partnership, though. "The Far East import will probably find a new home with Fiat-Abarth," Wester told Car. Yes, you read that correctly, Mazda is still working with FCA, and the result will eventually end up with Abarth's scorpion badge. If anything, we're more excited over this news than the idea of an Alfa MX-5. But we want to know what you think – would you rather Alfa build a new Spider on the Miata's bones, or does an MX-5 Abarth sound like more fun? Have your say in Comments.