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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:

Car and Driver lists 10Best for 2013, same as it ever was

Forgive us for having the distinct feeling of déjà vu, but it certainly feels like we've been here before. By that we are referring Car and Driver and the announcement of its annual 10Best vehicles for 2013. To be sure, it's an impressive selection of cars that combine heart-pounding performance and frugal sensibilities, but it also represents something of a broken record on the part of C/D. We're not so sure that's a flaw, though, as the resulting list is tough to argue with.
Vehicles like the Ford Mustang, Porsche Boxster, and BMW 3 Series have maintained their high-horsepower spots on this list for several years now. Even on the more practical and nimble end, the Honda Accord, Honda Fit and Mazda Miata have not budged. These continued spots are even in light of redesigns for some vehicles such as the Accord, Boxster and 3 Series.
In fact, the only newcomer to the 10Best list this year are the Scion FR-S/Subaru BRZ twins, which knocked out the Cadillac CTS-V. We think it would have been a huge misstep to have excluded the FR-S/BRZ, even in light of the supercharged Caddy's lamentable departure from 10Best.

Evo blasts around in a Spa 24H-winning Mazda RX-7

Think of the Mazda RX-7 today, and your thoughts likely turn to the turbocharged third-generation version of the '90s that's an icon among the tuning and drifting communities. Many years before that swoopy coupe was hanging the tail out, the first model of RX-7 was also quite a track star, though. Evo's Richard Meaden has gotten ahold of a race-prepped version that counts a victory in the 1981 Spa 24 Hours to its name – the first Japanese car to claim that honor – for a fantastic video. With 225 horsepower and weighing around 1,984 pounds, this RX-7 doesn't look like a giant killer on paper. However as Meaden illustrates, the coupe puts those rotary-powered ponies to very good use. Driving it requires constantly keeping things on the boil because the muscle is essentially absent below 7,000 rpm. Once in the sweet spot, things start progressing quickly, though. As a wonderful cap to the wall of noise from the engine, little licks of flame also shoot out of the exhaust on downshifts. Thankfully, Evo's video team captures all of the mechanical noises quite well, and the clip is a treat for those with a good pair of headphones. Despite the race-winning pedigree, Meaden has no problem grabbing the little coupe by the scruff of the neck. He chucks it through the corners to get the tail loose, and the little wisps of smoke from the rear tires prove the original RX-7 knows how to drift too. These early cars definitely worth being remembered in the pantheon of Mazda performance.