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Japanese automakers welcome North American trade deal, fear what's next

TOKYO — Toyota, Nissan and Mazda welcomed on Tuesday the revised North America trade deal that left Japanese automakers unscathed, but they may face a bumpy ride when Washington and Tokyo hold new talks on over $40 billion of annual U.S. auto imports from Japan. The United States and Canada reached an agreement on Sunday to update the 1994 North American Free Trade Agreement after Washington had forged a separate trade deal with Mexico in August. The updated deal effectively maintains the auto industry's current footprint in North America, and spares Canada and Mexico from the prospect of U.S. national security tariffs on their vehicles. Mazda, which ships cars to the United States from Mexico and Japan, called the deal a "big step forward". Nissan, which makes the cars it sells in the United States locally as well as in Mexico, Japan and other countries, said it was "encouraged" by the agreement. Toyota, Japan's biggest automaker, said it was "pleased" that a basic deal was reached. Other automakers were not immediately available for comment. While the deal has removed the risk that the disintegration of the pact would have posed to automakers, bigger risks loom large for Japanese firms as a chunk of the roughly 7 million cars they sold in the U.S. last year were shipped from Japan, and a trade deal between Washington and Tokyo has yet to be agreed. The United States and Japan last week agreed to begin fresh trade talks, with U.S. President Donald Trump seeking to address Japan's $69 billion trade surplus, of which nearly two-thirds comes from auto exports. Washington is also investigating the possibility of slapping 25 percent tariffs on auto imports on national security grounds, although it has agreed with Japan to put any new tariffs on hold during the talks. Analysts say the United States may take a tougher stance on auto imports from Japan than from its neighbors. "If Japan requests an exemption from the 25 percent tariffs under consideration, Washington could propose a more strict cap on imports than it agreed to with Mexico and Canada," said Koji Endo, senior analyst at SBI Securities. "That would be a risk." This could be a big blow to Japan, as the United States is a key source of revenue for Japanese automakers including Toyota, Nissan and Honda. The U.S. market accounts for a quarter or more of their annual global vehicle sales, and of their total U.S.

Junkyard Gem: 2004 Mazda RX-8

You know when a type of vehicle has reached its value tipping point (where it's not worth fixing up a broken or crashed one) when examples of it begin showing up in the big American self-service wrecking yards. During 2016, the BMW Z3 and Mazda RX-8 reached that point and began to appear, just one at a time, here and there, but obviously they were the advance scouts for many to follow. Such cars usually get picked over in a hurry ... at first. Here's a well-stripped example of a first-year RX-8 I found earlier this year in a Denver yard. Some RX-7 owner probably nabbed the Renesis engine right away, and then the guys who grab late-model parts to flog on eBay were next. Still, plenty of interesting components remained on this car when I photographed it, and RX-8s that end up here in a year or two won't get swarmed by the vultures anywhere near as quickly. Does that mean that RX-8s are now cheap enough to race in the 24 Hours of LeMons? Could be! Related Video: Featured Gallery Junked 2004 Mazda RX-8 View 11 Photos Auto News Design/Style Mazda mazda rx-8

Mazda names new North American chief

Mazda has announced today the appointment of a new president and CEO of its North American operations. Jim O'Sullivan, who has been running the office for 13 years, is now leaving the company. In his place the head office has appointed veteran manager Masahiro Moro, and as you can see, he could not be more thrilled with the appointment. A 55-year-old native of Kyoto, Moro has been with Mazda since 1983. One of the company's managing executive officers, Moro currently heads up its global sales and marketing division. He also previously served as vice president of marketing and of product planning for Mazda Motor Europe, and as director of the company's Australian operations. He'll now be relocating with his wife and family to Southern California to take over the North American division based out of Irvine, effective January 1. His predecessor Jim O'Sullivan has held the office since 2003, also ranked as one of the Japanese automaker's managing executive officers. The Detroit native previously worked at Ford, where he started his career in 1976. "I have been very lucky that the car business has afforded me so many incredible experiences, and taught me so much. However, now is the right time for me to retire from Mazda," said the 40-year industry veteran of his departure from the company in the statement below. "I don't know how the next chapter in my life will read, but it's time for me to spend time with my wonderful wife, my children and my grandchildren. I've travelled the world for nearly 40 years, who knows what the future holds?" Related Video: Masahiro Moro Named President, Mazda North American Operations - Jim O'Sullivan, Current President, to Retire after 13 Years Leading the Company - IRVINE, Calif., Dec. 21, 2015 /PRNewswire/ -- Mazda North American Operations (MNAO) today announced the appointment of Masahiro Moro to the position of President and CEO, MNAO. Moro, a Managing Executive Officer of Mazda Motor Corporation, will take over from Jim O'Sullivan, the company's long-serving outgoing president, who will be retiring from the company. The changes were announced today to company employees, and will be effective January 1, 2016. O'Sullivan joined MNAO as President and CEO in 2003, and also held the title of Managing Executive Officer of Mazda Motor Corporation.