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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

GM recalling 250,000 SUVs over door electronics

After a door-fire investigation that dates back to February, the National Highway Traffic Safety Administration has officially announced a recall today that affects around 250,000 General Motors SUVs for a faulty driver's door module. The recall applies to the Buick Rainier, Chevrolet Trailblazer, GMC Envoy, Isuzu Ascender and Saab 9-7X from the 2006 and 2007 model years, as well as the 2006 Chevrolet Trailblazer EXT and GMC Envoy XL for vehicles sold and/or registered in the Snow Belt.
Road salt use in these midwestern and northern states can lead to corrosion of the driver's door module on these GMT360 and GMT370 vehicles, which allows water to come in contact with the circuit board. If shorted out, the vehicle's power door locks and power windows will not work, and could possibly lead to overheating and, in some circumstances, a fire. No official word on how many total vehicles caught on fire, but back in June, 28 fires had been reported to the government agency. A fix for the problem is still being worked out, but all affected vehicle owners will be notified by GM.
Scroll down for the official NHTSA statement.

Wienermobile gets burned by hotdogging catalytic converter thieves

Catalytic converter theft has been on the rise, but few could have predicted its latest victim. Turns out, not even the Wienermobile is immune to the emissions device bandits. Low-lifes purloined the exhaust cleaner off of Oscar Mayer's 27-foot-long wheeled hot dog as the vehicle made an overnight stop in Las Vegas. As Fox 5 Las Vegas reports, the thieves made off with the catalytic converter in front of the Sonesta Suites motel in Sin City. The Wienermobile, one of six such vehicles circulating across the country, had been scheduled to make an appearance at a shopping center in town on Friday, but was forced to make a pit stop at a local Penske trucks shop for repairs.  According to Road & Track the Wienermobile is built on an Isuzu NPR HD chassis, so it makes sense that a truck shop would be able to service it. Unfortunately, vehicles with a lot of ground clearance like SUVs and pickups are often the targets of catalytic converter pirates, as the parts are more easily accessed from beneath.  In 2019, reported thefts of catalytic converters nationwide totaled only 3,389, according to the National Insurance Crime Bureau. The number of reports climbed to 14,433 in 2020. In 2021, that swelled to 65,398, a 353% increase over the previous year. The rate continued apace in 2022, with State Farm alone reporting 44,500 thefts from their customers through June of that year. The emissions-scrubbing devices contain valuable metals such as platinum, palladium and rhodium. The National Insurance Crime Bureau says those metals are valued at $1,128, $2,938 and $20,000 per ounce, respectively, as of March 2022. Last year, California passed new legislation to make it harder to sell stolen catalytic converters, while the Department of Justice busted a ring of catalytic converter thieves with assets totaling $550 million. Joseph Rodriguez, a Penske maintenance coordinator, told Fox 5 that the repair was only temporary, as they did not have the correct part to install. However, it was enough to send the Wienermobile on its merry way.  Cars such as the Toyota Prius, Honda Accord, and Ford F-150 routinely top lists of cars targeted by catalytic converter thieves. That's partially due to the fact that those are common cars sold in large number, but the lesson here is that no vehicle is safe. If scofflaws are brazen enough to steal from a bright yellow truck shaped like a frankfurter, nothing is safe. Humor Weird Car News Isuzu catalytic converter wienermobile