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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

Mazda sketches Koeru concept ahead of Frankfurt show

Mazda is giving us an early peek at the Koeru concept set to debut at the Frankfurt motor show. With a name derived from the Japanese word for "exceed" or "go beyond," the model is the latest evolution in the company's long-lived Kodo design language. Sketches tend to distort a vehicle's actual proportions, and the perspective on this one appears to be playing some visual tricks. Some things can't be hidden so easily, though. The Koeru appears to wear a more sharply angled version of Mazda's shield-shaped grille, and the headlights evolve the look of the CX-3 with an even narrower squint. The steeply raked rear hatch provides a coupe-like roofline, but we wonder if the angle is this pronounced in real life. Reports from last year suggest that a new CX-9 is on the way in 2016, and we could be getting a preview with the Koeru. Mazda is also purportedly developing a CX-7 successor. We should get a better idea if this show car represents either of those future CUVs when we can see it in the metal in Germany. MAZDA TO UNVEIL NEW CROSSOVER CONCEPT IN FRANKFURT Mazda Koeru features a distinctly powerful rendition of the KODO design theme Japanese carmaker aims to further raise benchmark in competitive SUV segment Hiroshima / Leverkusen, 7 August 2015. In a world premiere at the 66th 2015 Frankfurt International Motor Show (IAA), Mazda will reveal the Mazda Koeru, a new crossover SUV concept that makes a bold statement in an increasingly popular and competitive segment. Koeru, Japanese for "exceed" or "go beyond", is a fitting name for Mazda's latest venture into the growing crossover SUV market, where the company is again looking to surpass existing standards and raise the bar for performance, efficiency and overall value. With its formidable KODO – Soul of Motion design, the Koeru expresses the power and vitality of a predator along with a unique level of refined dignity. The full line-up of Mazda's latest SKYACTIV Technology, meanwhile, ensures outstanding dynamic performance, fuel economy and safety with no compromise to Mazda's patented driving fun. The carmaker will also display its new-generation model line-up in Frankfurt. Highlights include an all-new Mazda MX-5 complete with accessories as well as several SKYACTIV powertrains. Mazda's press conference takes place at 13:45 (hall 9.0, B16) on 15 September, the first of two press days. The IAA is open to the public from 17-27 September.

Mazda Miata 'fathers' Hall and Case offer a tour through the roadster's history

The original Mazda Miata broke onto the automotive scene in 1989 and was a huge success. However, the convertible's genesis goes all the way back to the early '80s. Bob Hall and Dean Case were among the inside men of the program on the US side, and they were on hand at Mazda Raceway Laguna Seca during the recent MX-5 event there to tell some of their stories about the project's beginning.
Hall was on the Miata project from very early on, and one of his most fascinating stories is how the convertible got its shape. The droptop wasn't necessarily going to be a rear-wheel drive roadster. There were both front-wheel-drive coupe and mid-engine concepts being considered. In fact, the classic look of the NA generation was the least favorite of the three at the sketch stage.
Hall comes off as a jokester hiding a genius mind. He has a fountain of information in his head about what a Miata should be, but it all comes down to "less is more." However, he admits that it's easy to conceive that idea, but it's much harder to actually execute it well.