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Why Japan's government is looking to curb its adorable kei car market

Each region around the world has its stereotypical vehicle. The US has the pickup and Europe the five-door hatchback; but in Japan, the kei car reigns supreme. These tiny cars are limited to just 660cc of displacement but they've also come with lower taxes to make them more affordable. To make of the most of their small size, they've often had quite boxy styling like the Honda N-One shown above, and because they're Japanese, they've often had quirky names like the Nissan Dayz Roox. However, if the Japanese government has its way, the future popularity of these little guys might be in jeopardy. The problem facing them is that Japan is an island both literally and figuratively. After World War II, the Japanese government created the class as a way to make car ownership more accessible. The tiny engines generally meant better fuel economy to deal with the nation's expensive gas, and the tax benefits also helped. It's made the segment hugely popular even today, with kei cars making up roughly 40 percent of the nation's new cars sales last year, according to The New York Times. The downside is that these models are almost never exported because they aren't as attractive to buyers elsewhere (if indeed they even meet overseas regulations). So if an automaker ends up with a popular kei model, it can't really market it elsewhere. The government now sees that as a threat to the domestic auto industry. It believes that every yen invested into kei development is wasted, and the production takes up needed capacity at auto factories. The state would much rather automakers create exportable models. To do this, it's trying to make the little cars less attractive to buy, and thus, less attractive to build. The authorities recently increased taxes on kei cars by 50 percent to narrow the difference between standard cars, according to the NYT. If kei cars do lose popularity, it could open the market up to greater competition from foreign automakers. Several companies complained about the little cars stranglehold on the Japanese market last year, but since then, imported car sales there have shown some growth thanks to the improving economy. Featured Gallery 2013 Honda N-One View 20 Photos News Source: The New York TimesImage Credit: Honda Government/Legal Honda Nissan JDM kei kei car

Honda Urban SUV concept previews Fit-based crossover

We've been hearing a lot of rumblings this year about a new crossover based on the Honda Fit, and now we finally get to see what this B-segment CUV might look like. Called the Urban SUV Concept, Honda's new small crossover has made its debut at the Detroit Auto Show, but we'll have to wait until 2014 to see the production version on sale in the US. Honda says the production version of this concept, whatever it will be called, will slot below the CR-V in terms of size and price.
In terms of this concept's styling, there is plenty of the new Honda Accord in its face, and it looks like a more rugged version of the Nissan Juke, as well as a more practical alternative to the Hyundai Veloster. With its short overhangs, the concept measures 169.3 inches in length, making it about eight inches longer than a Fit hatchback and nine inches shorter than the CR-V. Honda confirmed that its new crossover will debut a telematics system for Honda, and it will use one of Honda's new Earth Dreams engines; we previously reported that this engine would be a 1.5-liter I4 paired with a continuously variable transmission.
The next-generation Fit is expected to debut before this new crossover model, and both models will be built at Honda's Celaya, Mexico assembly plant, which is scheduled to open early next year. A new sedan is also expected to round out the lineup of Fit-based products. For more information about this new Urban SUV Concept, scroll down for Honda's official press release.

Check out Honda's sweet stop-motion 'Power of Dreams' ad

Television advertising doesn't just have to be the necessary evil that pays for the shows that you want to watch, and Honda is absolutely proving that with a new two-minute commercial titled Paper. Using stop-motion animation and a heap of illustrated cutouts, the spot showcases what the Power of Dreams motto really means. It runs through highlights like the success in racing, automotive development, Asimo, the HondaJet, and even lawnmowers. The result of all that hard work is spellbinding. The entire two-minute spot already aired during a few NFL games, and doing that was a serious investment. According to Ad Age, during the time that the ad ran the estimated cost per 30 seconds was $300,887. Honda is also prepping a minute-long version for TV, but you can enjoy the whole thing right now in the video, above. HONDA BRINGS 'THE POWER OF DREAMS' TO LIFE WITH TWO-MINUTE COMMERCIAL CREATED BY STOP-MOTION ARTIST AND INFLUENCER PES Elaborate Paper-Flipping Technique Artfully Tells the History of Honda Honda Brand Marketing Tone — Simple, Clever and Emotional — Will Carry Through Across Upcoming Advertising to Help Build a Long-Term Emotional Connection with Consumers Sep 21, 2015 - TORRANCE, Calif. -- Capitalizing on Honda's established, strong brand identity and its core belief in "The Power of Dreams," the company is launching a two-minute commercial, "Paper," during CBS Sunday NFL on Sunday, Sept. 20. After months in the making, thousands of hand-drawn and -colored illustrations from multiple artists provide the platform for an intricate paper-flipping journey to beautifully show Honda's history and range of mobility products. "The goal is for the marketing itself to become a demonstration of Honda thinking and all the people that touch our wide range of products along the way," said Tom Peyton, Assistant Vice President of Marketing for American Honda Motor Co., Inc. "This commercial stands for the courage and conviction to imagine and make dreams a reality and speaks to Honda's innovative nature and respect for personal achievement and contributions." "The Power of Dreams" philosophy speaks to Honda's belief that drives the company's R&D and diverse array of advanced-technology products, and to the determination to bring them to market. This rejuvenated approach to overall brand marketing is the sum of Honda's best thinking and could only come from the company's years of design and innovation.