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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:

Translogic 164: Driving the fuel cell vehicles of the 2014 LA Auto Show

The LA Auto Show is known for its environmentally friendly vehicle debuts. At last year's show, hydrogen fuel cell concepts from Honda and Toyota joined a lease-ready Hyundai Tucson FCEV to cast a green hue over the convention center. This year, automakers took us a step closer to a fuel cell future by offering drives of their hydrogen-electric hybrids. Translogic host Jonathon Buckley takes a ride in the Toyota Mirai, which is headed for production in 2016. He follows that with a spin in the Volkswagen Passat HyMotion and the Audi A7 Sportback h-tron quattro concept. Which of these fuel cell vehicles holds the most promise? Tune in to find out. Follow Translogic on Twitter and Facebook. Click here to subscribe to Translogic in iTunes. Click here to learn more about our host, Jonathon Buckley. LA Auto Show Audi Toyota Volkswagen Electric Translogic Videos la 2014 toyota mirai

Toyota claims hydrogen fuel cell breakthrough

Platinum isn't cheap. And it's a necessary component of hydrogen fuel-cell technology. Which means that Toyota's recent discovery of a way to better analyze how platinum breaks down is a bit of an H2 vehicle breakthrough. Toyota worked with the Japan Fine Ceramics Center (JFCC) to observe nanometer-sized platinum particles and, specifically, how they deteriorate. Platinum is used as a catalyst for when electrons are stripped away from the hydrogen molecule to create an electrical charge and when hydrogen ions and electrons mix with oxygen to create water vapor. So, when platinum gets more course during the countless chemical reactions inside of fuel cells, things slow down. Now that Toyota says it's figured out a better way to observe this process, greater efficiency and durability within the fuel-cell process of electricity production are likely to follow, though more chemistry study will be needed to figure out how that will work. Still, it's topical because Toyota last year started producing the world's first production hydrogen fuel-cell vehicle. The Japanese automaker debuted sales of the Mirai fuel-cell vehicle in Japan late last year and plans to start selling the car in California this fall (the car will be priced at $57,500). Toyota also plans to boost Mirai production to about 2,000 units in 2016 from about 700 this year. Take a look at Toyota's documents and video below. R&D Breakthrough Sets Stage for More Efficient, Durable Fuel Cell Stacks Toyota City, Japan, May 18, 2015—A breakthrough in the real-time observation of fuel cell catalyst degradation could lead to a new generation of more efficient and durable fuel cell stacks. Toyota Motor Corporation and Japan Fine Ceramics Center (JFCC) have developed a new observation technique that allows researchers to monitor the behavior of nanometer-sized particles of platinum during chemical reactions in fuel cells, so that the processes leading to reduced catalytic reactivity can be observed. Platinum is an essential catalyst for the electricity-producing chemical reactions occurring between oxygen and hydrogen in fuel cell stacks. Reduced reactivity is the result of "coarsening" of platinum nanoparticles—a process whereby the nanoparticles increase in size and decrease in surface area. Up until now, however, it has not been possible to observe the processes leading to coarsening, making it difficult to analyze the root causes.