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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

From Maseratis to rental cars | Autoblog Podcast #511

On this week's podcast, Mike Austin and David Gluckman are in a huddle room (again), because the studio was already taken (again). We talk about the all-wheel-drive Dodge Challenger GT (again), as well as the Jeep Wrangler, Maserati Levante, Miata RF (again), and then David waxes poetic on mediocre rental cars (or similar). The episode wraps up with the traditional doling out of Spend My Money buying advice, with some input from an S2000 owner on advice discussed last time. The rundown is below. Remember, if you have a car-related question you'd like us to answer or you want buying advice of your very own, send a message or a voice memo to podcast at autoblog dot com. (If you record audio of a question with your phone and get it to us, you could hear your very own voice on the podcast. Neat, right?) And if you have other questions or comments, please send those too. Autoblog Podcast #511 Topics and stories we mention Dodge Challenger GT Jeep Wrangler Unlimited Maserati Levante Mazda MX-5 Miata RF Used cars! Rundown Intro - 00:00 What we're driving - 06:11 Spend My Money - 32:45 Total Duration: 55:30 Get The Podcast iTunes – Subscribe to the Autoblog Podcast in iTunes RSS – Add the Autoblog Podcast feed to your RSS aggregator MP3 – Download the MP3 directly Feedback Email – Podcast at Autoblog dot com Review the show on iTunes Podcasts Dodge Jeep Maserati Mazda Nissan mazda mx-5 rf dodge challenger gt

Recharge Wrap-up: No Tesla Gigafactory deal with California, BMW i3 recalled

Before the Nevada announcement was hinted at, a deal to incentivize a Tesla Gigafactory in California fell through. Tesla was looking for around $500 million in incentives, which the California Governor's Office of Business and Economic Development was willing to offer in tax breaks along with making the permit and environmental processes easier. According to Senator Ted Gaines, there still remained "a gap between what Tesla wanted and what California was willing to offer," the contents of which were undisclosed. California could still be chosen for another of Tesla's battery plants, should those ever materialize. Read more at The Desert Sun. The California Air Resources Board (CARB) will consider allowing a bit of compliance flexibility to its Zero Emission Vehicle (ZEV) regulations for some automakers. CARB will hold a hearing to discuss giving intermediate volume manufacturers (IVMs) - carmakers that do between 4,501 and 60,000 new vehicle sales in the state - some leniency catching up to the larger manufacturers when it comes to clean vehicle production. The ZEV regulation changes take into account the amount of revenue IVMs have available for developing the cars, particularly plug-in hybrids. Read more at Green Car Congress or see the notice from CARB here. Certain units of the BMW i3 are subject to an airbag recall. For cars built March 31, 2014, the passenger airbag inflator may have been assembled incorrectly, which could keep it from deploying when needed. Owners will be notified by BMW, and the problem will be fixed for free. The recall also affects certain 2014 Mini Cooper models. Learn more at the NHTSA website. The Renault-Nissan Alliance is providing 200 electric vehicles to telecommunications company Orange in France. The cars, which will include the Nissan Leaf, Nissan e-NV200, Renault ZOE and Renault Kangoo ZE, will be used mostly for carsharing. Through the program, Orange employees can book a car for work or personal travel using a smartphone. The Alliance will also help Orange install charging stations for the new cars. The addition of the EVs to the fleet will help Orange achieve its goal of reducing its carbon footprint by 20 percent by 2020. Read more in the press release, below. Jianghuai Automobile Company (JAC) is delivering its first 100 EVs to the US. The shipment is part of a larger order of 2,000 cars to be sold by GreenTech Automotive in the US market. Read more at ECNS.