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Half of Chinese car buyers won't shop Japanese over hard feelings

The hard feelings between China and Japan is no real secret. Besides modern-day disputes, the two countries have had a long-running enmity that dates back to well before the atrocities of World War II. All things considered, then, it shouldn't be a shock that half of Chinese car buyers wouldn't consider a Japanese car. This survey, conducted by Bernstein Research, found that 51 percent of 40,000 Chinese consumers wouldn't even consider a Japanese car – which, again, isn't really surprising, when you consider stories like this. According to Bernstein, the most troubling thing is the location of these sentiments – smaller, growing cities where the population is going to need sets of wheels. We imagine it wouldn't be as big of an issue in traffic-clogged Shanghai or Beijing, but these small cities are going to become a major focus for automakers. "Nationalistic feelings are an impediment. [Japanese] premium brands will struggle," analyst Max Warburton wrote in a research note, according to The Wall Street Journal. Things will improve for Japanese makes, although China will remain a challenge, with Warburton writing, "the one thing that comes out most clearly is that most Chinese really want a German car. While we expect Japanese brands to continue to recover market share this year, ultimately the market will belong to the Germans." There are a few other insights from the study. According to WSJ, Japanese brands are viewed better than Korean brands, and they're seen as more comfortable than the offerings from Germany or the US, despite the fact that everyone in China apparently wants a German car. This is a tough position for the Japanese makes to be in, as there's really not a lot they can do to win favor with Chinese buyers. It will be interesting to see how this plays out, particularly as the importance of the PRC continues to increase year after year. News Source: The Wall Street Journal - sub. req.Image Credit: Kazuhiro Nogi / AFP / Getty Images Honda Mazda Nissan Toyota Car Buying

McLaren and Honda rekindle a winning combination

With the 2014 Formula One World Championship now drawn to a close, all eyes are fixed on next season. And for both McLaren and Honda, that means the dawn of a new era – or hopefully, the return to one bygone. After twenty years running Mercedes engines, McLaren is switching back to Honda next season, rekindling the most successful partnership the once-dominant team has ever had. Immediately after swapping to Honda power in 1988 – and with Ayrton Senna and Alain Prost behind the wheel – McLaren entered its winningest era, racking up four consecutive world championships. In the two decades it's spent under Mercedes power since, it won three drivers' titles and one constructors', leaving the relatively brief Honda era as its most successful. It was also the most successful for Honda, which had enjoyed success with Williams and some with Lotus, but far more with McLaren – the likes of which it was never able to recreate. The Japanese automaker that was the first to break into the Euro-centric series left grand prix racing when it left McLaren, and despite returning to fund its own team for the better part of a decade, claimed but one checkered flag before calling it quits again. Whether the new collaboration will return both outfits to the winner's circle remains to be seen, but we're looking forward to finding out. In the meantime, after releasing a couple of images from the video shoot last week, McLaren has put out this minute-and-a-half video clip showing the MP4-29H running a few laps around Silverstone, marking the official start of what could be the second reign of the McLaren-Honda dynasty. News Source: McLaren Motorsports Honda McLaren Racing Vehicles Videos F1 mclaren-honda

Honda invests $470 million for new transmission plant in Mexico

Honda has announced that it has made an initial investment of $470 million to build a brand new transmission plant in Ceyala, Mexico. For those keeping track, this is the same city that will also house Honda's new automobile manufacturing facility, which will begin production of the Fit compact beginning in the spring of 2014.
This new transmission plant is expected to come online in the second half of 2015, with an annual production capacity of 350,000 units, though that number is expected to double in the years following the plant's opening. With a 700,000-unit production capacity, Honda says a full 1,500 new associates will be hired at the Mexican plant.
Honda will specifically use this new transmission plant for the production of CVTs for automobiles built in Mexico, as well as for cars produced in facilities around the world. It stands to reason, then, that since the next-generation Honda Fit will be built right around the corner from these new CVTs, the small hatchback - which is expected to grow into a full family of vehicles - could be fitted with continuously variable units in the future.