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Toyota 86 and Subaru BRZ successor canceled?

Rumors indicate that the Toyota 86 is done for. Japanese Nostalgic Car is quoting Japanese sources as saying Toyota and Subaru have parted ways regarding the 86 and that the current car's replacement is off the table. According to JNC, the Japanese magazine Best Car is readying a report that the 86/BRZ successor has been canceled. JNC also considers the fact that in Japan, there will be a four-cylinder, 197-horsepower version of the new Supra, ready to continue where the 86 will leave the market. Back in 2016 the automaker seemingly confirmed that a replacement for the rear-drive car was under development, but plans can change and with a cheaper Supra version for sale in markets outside the U.S., we have to wonder if the 86 replacement has been shelved. The 86, while balanced, has only received mild enhancements and not a lot of extra power during its near-decade long time on the market, and it isn't such a strong seller that it would necessarily merit the effort of Toyota developing a successor on its own, particularly without the help of a partner like Subaru or BMW. At the same time, Autocar quotes Toyota boss Akio Toyoda on the Supra: "At the end of the day, is there anything better than a tight rear-wheel-drive sports car? I hope this won't be the last Toyota sports car you see from us in the future." While that is far from a solid statement of Toyota's future intent, it paves the way to offerings below the Supra, and shows how much the company boss cares about driver involvement. There is a distinct possibility that the company will re-introduce the MR2 as an electrified, rear-drive sports car – which could still be a joint venture with Subaru, as Japanese Nostalgic Car theorizes. Whatever's in the pipeline – and we hope there is something in the pipeline – it seems Toyota's heart is in the right place: driving the rear wheels. Related Video:

Toyota GT86 CS-R3 rally car presages for-sale customer racecar

Rallying may enjoy a very strong association with all-wheel drive, but it wasn't so long ago that the World Rally Championship was populated by cars that slipped and slid across gravel and tarmac using rear-wheel drive. One of those was the Toyota Celica. While the little Celica eventually joined the gravel-spewing masses with an all-wheel-drive rally car, Toyota is returning to its rear-drive rally roots with a modified version of the critically acclaimed GT86.
Called the CS-R3, the new model boasts all the necessary changes to turn the diminutive twin of the Scion FR-S and Subaru BRZ into a car capable of tackling the tough, twisting paths that are so routinely conquered by the world's rally cars. That means, of course, the CS-R3 has gotten a power bump.
Expected output sits between 240 and 250 horsepower, thanks to a new racing exhaust and manifold, as well as other changes. The ECU has been replaced with an item a bit more suited to racing, while the compression ratio has also been adjusted to boost the output.

Lexus eschews production in China over quality concerns

One of the more popular trends in the auto industry is setting up production operations in China. Mainstream manufacturers like Ford, General Motors and Volkswagen have done it, and even luxury marques like Audi, BMW and Mercedes-Benz have or will soon have manufacturing ops in the People's Republic.
One company that isn't building cars in China, though, is Lexus. The Toyota-owned luxury brand still manufactures all of its vehicles in Japan (aside from a few RXs, which are built at a Toyota factory in Canada). According to Tokuo Fukuichi, Lexus just isn't ready to build cars there yet.
"The German Three have a brand image that they have cultivated over the past century in their long history, but Lexus is not in people's minds like that yet," Fukuichi-san told Reuters UK.