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Toyota, Honda, Nissan and more collaborating to increase fuel efficiency

Toyota, Honda, Mazda, Nissan, Subaru, Mitsubishi, Suzuki and Daihatsu have announced an alliance that will see a push to improve fuel economy from both gas-powered and diesel-powered engines by as much as 30 percent before the end of the decade.
The newly assembled Research Association of Automotive Internal Combustion Engines put the roughly $20-million project together, with the Japanese government committing to half the cost while the eight manufacturers will chip in the rest.
According to Automotive News, the automakers will team up and share basic research on internal-combustion engines in a bid to cut costs. Eventually, the results of the research will find its way into a production vehicle, although it's unclear just when we'll see the fruits of this partnership on the road.

Mercedes and Infiniti confirm joint production in Mexico [w/video]

It's official, folks: After initial reports last week indicated that Mercedes-Benz was preparing to begin assembly at the Nissan plant in Aguascalientes, Mexico, the two parent companies have announced just that. Only instead of using the existing Nissan plant at the site (in operation since 1992), Daimler and the Renault-Nissan Alliance have announced a joint venture to build a new one alongside it.
The latest stage in the growing French-German-Japanese collaboration is part of a new collaboration that will see Infiniti and Mercedes jointly develop and build a line of compact premium vehicles, with the first Infiniti models set to roll off the assembly line in 2017 and the first Benzes to follow a year later. Neither party announced exactly which models that would encompass, but Mercedes already has a robust line of small vehicles (including the A-Class, B-Class, CLA and GLA), and Infiniti has long been toying with the idea of slotting in something smaller below the Q50.
The billion-euro project, split evenly between the two industrial giants, is set to create 5,700 new jobs in Mexico. In addition to the Aguascalientes project, Infiniti and Mercedes are also undertaking joint production of four-cylinder engines (initially for the C-Class and Q50) in Decherd, Tennessee, from which they will be exported around the world. By the time the new factory in Mexico reaches full capacity in 2021, it will have the capability to produce 300,000 vehicles annually. That's on top of the 850,000 vehicles the existing facility is capable of handling.

Honda may recall up to 1M vehicles for airbag issue, following Toyota's lead

It seems Toyota won't be the only one recalling the faulty Takata airbag inflators for long. Honda insiders in Japan claim that the company is getting close to announcing its own worldwide campaign that would begin before the end of June.
Unnamed sources close to Honda in Japan tell Automotive News that the company is pursuing an internal investigation into possibly affected models and is working with Takata to gather more information. They claim that it could involve even more than the 1.14 million cars worldwide that the automaker covered under the first recall for the problem in April 2013, including 561,000 vehicles in the US.
Toyota jumpstarted this process last week when it recalled over 2 million cars worldwide, including 844,277 in the US. Soon after, the National Highway Traffic Safety Administration began a preliminary evaluation into the issue following six reported incidents, and started assembling data about potentially affected models from Toyota, Honda, Mazda, Nissan, Chrysler. NHTSA also began investigating Takata itself.