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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's Tokyo concepts have us wishing for more Mazdaspeed

It's been a while since we've seen any new Mazdaspeed machinery, and we're sorry to report that today isn't the day the wait ends. But if you want to see what they might look like based on Mazda's latest models, the Tokyo Auto Salon will be the place to be in a couple of weeks. Turns out the Zoom-Zoom brand has a whole raft of performance models in store for the aftermarket expo. Most intriguing to our eyes is the trio of Racing concepts – one based on the MX-5 Miata roadster, one on the CX-3 crossover, and one on the Mazda6 sedan. Each is done up in black with full aero kit, new rolling stock, and Alcantara interior. An adjustable suspension is the big change to the MX-5 – known simply as the Mazda Roadster in Japan – which also features red trim. As does the CX-3, while the Atenza (which we know as the Mazda6) goes for a more monochromatic, murdered-out appearance. The rally-prepped Mazda2 (known domestically as the Demio) focuses on a stripped-out interior with bucket seats, racing harnesses and a roll cage. There's a spec racing MX-5 in white livery with roll cage and tow hooks as well to join the Global Cup roadster we've already seen. That also goes for the RX-Vision and LM55 Vision Grand Turismo concepts which have already made the rounds but will be on display at the Tokyo salon as well. But it's those three Racing concepts that leave us salivating for production performance models to come – and hopefully come to North America in the process. Related Video:

Mazda6 GX Grand-Am racer goes where no diesel sedan has gone before

There has never been a four-door diesel sedan in the Grand-Am series, until now: The blunt, bewinged grille of the Mazda6 GX has blown right through that wall. It's said that racing improves the breed, but usually the breed has gone on sale when the racing begins. One of the unusual aspects of the Mazda6 GX, on the other hand, is that while the diesel won't go on sale to the public until later this year, it will already have tasted racing blood by the end of the day. That kind of reversal is more likely found with super coupes like the Lexus LFA and Honda NSX.
Mazda has taken class wins at Daytona's 24-hour race a whopping 23 times since 1975, most recently in 2010 with the RX-8 in the GT class. This year the Hiroshima company decided to show off its SkyActiv technology, then turned things up to eleven by opting for its SkyActiv-D instead of the more conventional SkyActiv-G gas engine to run in the new GX class. It will be joined by competitors like the Lotus Evora and Porsche Cayman in the class, nevertheless, at 2.4 liters, it's the smallest engine on the grid.
Time has not been a friend, either - Mazda said that the first five SkyActiv-D engines off the production line went to Speed Source in Coral Springs, Florida, the company that preps Mazda's race vehicles. Still, race driver Jonathan Baumarito on the #70 car said that although the engine's been on the dyno since February of last year, it's only been in the car for about a month and there have been only a couple of test days.