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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:

The 2017 Mazda CX-5 is new, and oh so very red

After examining the teaser photo and poring over spy photos, we knew that the 2017 Mazda CX-5 would adopt some design features from the larger CX-9 and Chinese-only CX-4. What we didn't know, though, is that the CX-5 would look like a miniature version of the CX-9. From the outside it's obvious the design is all new. The front of the SUV looks nearly identical to that of the CX-9's. Gone is the cutesy, roundish face in favor of a more angular theme. The headlights are slimmer, while the grille ditches the horizontal bars for a mesh pattern. Mazda calls the design theme Kodo - soul of motion, and the original 2013 CX-5 was the first production model under this mantra. View 12 Photos The changes at the back are less drastic than on the CX-5's new beak. The black trim that underlines the rear fascia is less prominent and the taillights looks leaner, but it's harder to tell the differences between the old and new model. Mazda says the CX-5 will be available with two engines here: the Skyactiv 2.5-liter gasoline engine and the Skyactiv-D 2.2-liter diesel (the Skyactive-D 2.0-liter, currently only used on Sport models, has been dropped for our market). We don't have specifics on power and torque yet, but in the old CX-5 (and current Mazda 3) the 2.5-liter four-cylinder generates 184 horsepower, while the diesel makes 173 hp and 310 pound-feet of torque. We expect front- and all-wheel-drive options, and of course we're hoping that the six-speed manual (previously on the base, front-drive model only) stays around as an alternative to the six-speed automatic. The interior follows the template of recent Mazdas, with the infotainment screen sitting on top of the dashboard with a control knob located aft of the shift lever. We'll have more information on the 2017 CX-5 at the vehicle's debut later today at the 2016 Los Angeles Auto Show. Related Video:

8 cars we're most looking forward to driving in 2015

Now that 2014 is officially in the books, it's time to look ahead. And following our list of the cars we liked best last year, we're now setting our sights at the hot new metal that's coming our way in 2015. Some of these, we've already seen. And some are still set to debut during the 2015 auto show season. But these are the machines that keep us going – the things on the horizon that we're particularly stoked to drive, and drive hard. Jeep Renegade Not the Chevrolet Corvette Z06. Not the Ford Mustang GT350. Not the new John Cooper Works Mini. Nope, I'm looking forward to the adorable, trail-rated Jeep Renegade. And that's because I really, really, really like our long-term Jeep Cherokee Trailhawk. I do not, however, care too much for the Cherokee's looks, and I really don't like its $38,059 price tag. The Renegade Trailhawk, meanwhile, promises much of the same rough-and-tumble character as its big brother, but at what we expect will be a more reasonable price (I'm personally wagering on the baby Jeep's off-road model starting at no more than $23,000). With a 2.4-liter four-cylinder and a nine-speed automatic, it should also be a bit easier to fill than the V6-powered Cherokee. Also, I can't help but love the way the Renegade looks. It's like someone took a Wrangler, squished it by 50 percent and then handed it off to George Clinton for a healthy dose of funk. The interior, with its bright, expressive trims and color schemes should also be a really nice place to spend some time. I'll be attending the Renegade's launch later this month, so I'll have a much shorter wait than my colleagues. Here's hoping the baby Jeep lives up to my expectations. – Brandon Turkus Associate Editor Mazda MX-5 Miata Here's an uncomfortable truth: I'd rather spend a day driving a properly sorted Mazda MX-5 Miata of any generation on a winding road than I would nearly any other vehicle, regardless of power, price or prestige. It's not just that I prize top-down driving and enjoy the Miata's small size because it gives me more road to play with. I just find there's more motoring joy to be had with high-fidelity handling and an uncorrupted car-to-driver communication loop than I do with face-distorting power or grip – let alone valet-stand gravitas. But perhaps most of all, I love Miatas because they can deliver that level of feedback and driver reward at modest speeds that won't put the locals on edge or endanger lives – you can use more of the car more of the time.