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Suzuki will road-test EVs in India, start production with Toyota in 2020

NEW DELHI — Japan's Suzuki Motor Corp will start testing prototypes of electric vehicles in India by October, its chairman said on Friday. "We will start road-running tests using a fleet of 50 EV prototype vehicles in India from next month in order to develop safe and easy-to-use EVs for Indian customers," Osamu Suzuki said at the Global Mobility Summit at New Delhi. The company would then launch EVs in India around 2020 in cooperation with Toyota, he added. However, Suzuki said that for EVs to become popular in India, there had to be well-developed charging infrastructure. "In this regard, we look forward to proactive leadership from the Indian government," he said. The government of Prime Minister Narendra Modi has a plan to electrify all new vehicles by 2030, a target many experts call ambitious. EVs are expensive due to the high cost of batteries which are still not manufactured in India, and carmakers say a lack of charging stations could make the proposition unviable. Suzuki, parent of India's top-selling automaker, Maruti Suzuki, would start production of lithium-ion batteries for automobiles at its plant in western India from 2020, Suzuki said. India is one of the world's fastest-growing car markets, but EV sales are negligible compared with millions of petrol and diesel cars sold every year. Suzuki said to meet India's environmental challenges, the government would have to look at hybrid and CNG (compressed natural gas) vehicles also.Related Video:

Suzuki previews new S-Cross compact CUV ahead of Paris debut

Despite having one heck of a lackluster presence here in the United States, Suzuki still manages to do well in other markets. That in mind, the automaker continually releases new products and concept cars at international auto shows that aren't destined for U.S. consumption, but this might not be one of those times.
The aging SX4 crossover is in need of replacement, and if Suzuki is still committed to selling passenger cars in the States, something fresh like this S-Cross concept could be just the ticket. Suzuki has, after all, confirmed that the S-Cross will eventually make its way into production.
We have no other details to divulge about the S-Cross, except that it's a small crossover concept and that it will make its public debut at the Paris Motor Show in September. Suzuki says that the S-Cross has a "Emotion x Quality x Aerodynamics" design theme that uses "distinctive dynamic lines that start on the front bumper, sweep across the doors, and continue to the rear of the body." No offense, Suzuki, but we've heard that before.

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