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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

Mazda returns to rotary with RX-Vision Concept, crowd goes wild

Rotary! Forget everything for a second. Ignore the sleek styling, formed-by-wind sheetmetal, outrageously rear-drive proportions, and general ridiculousness of the sideview mirrors. And please be so kind as to ignore the poorly lit photos here – Mazda has a thing for drama. Concentrate instead on one fantastic phrase from the concept car press release: "next-generation Skyactiv-R rotary engine." The crowd here in Tokyo was downright frothing to get a look at the new concept car – hoping to catch a glimpse of the first evolutionary stage for a RX-9 sports car. The critical factor in that effort is of course the rotary engine. Mazda says that, while production of the powerplant is "on hold," the company has "never stopped research and development towards the rotary engine." The fact that the company has named the new engine gives us great hope that it exists in reality, and will be available for sale at some future date. The devil is in the details though, and there are precious few available at the Mazda stand. Other than a brief history lesson about Mazda's racing heritage, and fuzzy-vision talk about the future, we only have expectations to feed on. Oh, there's also a tiny press release, below. Related Video: HIROSHIMA, Japan—Mazda Motor Corporation unveiled the rotary-powered Mazda RX-VISION sports car concept at the Tokyo Motor Show*1 today. The rotary engine is a symbol of the company's "never-stop-challenging" spirit. RX-VISION represents a vision of the future that Mazda hopes to one day make into reality; a front-engine, rear-wheel drive sports car with exquisite, KODO design-based proportions only Mazda could envision, and powered by the next-generation SKYACTIV-R rotary engine. Rotary engines feature a unique construction, generating power through the rotational motion of a triangular rotor. Overcoming numerous technical difficulties, Mazda succeeded in commercializing the rotary engine, fitting it in the Cosmo Sport (known as Mazda 110S overseas) in 1967. As the only automaker to mass-produce the rotary engine, Mazda continued efforts to improve power output, fuel economy and durability, and in 1991 took overall victory at 24 Hours of Le Mans with a rotary engine-powered race car. Over the years, the rotary engine has come to symbolize Mazda's creativity and tireless endeavor in the face of difficult challenges. While mass production is currently on hold, Mazda has never stopped research and development efforts towards the rotary engine.

2017 North American Car, Truck, and Utility Vehicle of the Year finalists revealed

The finalists for the 2017 North American Car, Truck, and Utility Vehicle of the Year were announced Tuesday at AutoMobility LA ahead of the 2016 LA Auto Show. Approximately 60 judges, including Autoblog's editor-in-chief Mike Austin, evaluated over 40 vehicles and named three models as the finalists in each category. The award for the Utility Vehicle of the Year is new for 2017 and separates SUVs, crossovers, and minivans from pickup trucks. The finalists are: Car of the Year: Chevrolet Bolt Genesis G90 Volvo S90 Truck of the Year: Ford F-Series Super Duty Honda Ridgeline Nissan Titan Utility Vehicle of the Year Chrysler Pacifica Jaguar F-Pace Mazda CX-9 The winners for the 24th annual NACTOY awards will be named on January 9 at the Detroit Auto Show. Related Video: Chevrolet Chrysler Ford Honda Jaguar Mazda Nissan Truck Crossover Minivan/Van SUV Electric Luxury Sedan north american car of the year NACTOY