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Mazda2 refreshed for 2020 with new style and tech

The North American market Toyota Yaris is a badge engineered version of the Mazda 2. Now, the Mazda underneath the Toyota badging has received some updates in its home market of Japan, and it will be interesting to see if or when the U.S. counterpart will be refreshed with any of these updates. The 2020 Mazda 2, now indeed called "Mazda 2" instead of the older Demio name on the Japanese market, has received new front end styling to bring it in line with bigger Mazda models. The grille and bumper are new, as are the headlights with adaptive LED technology and LED daytime running lights. Apparently the headlights are constructed out of 20 individually controlled LED blocks to optimize light output and direction, which sounds awfully interesting for this class of vehicle. The front end design, just like the new 16-inch alloy wheels, is Mazda-specific and the Yarisized version is unlikely to benefit from them, especially since the headlights are also different on the Toyota. Cabin materials have also been updated, and the driver’s seat is available with six-way power adjustability for 2020. The MZD Connect infotainment has Apple Carplay and Android Auto support, like the Yaris setup. In addition, cabin comfort is said to have been improved with better soundproofing, which is sometimes sorely needed in this class of cars. Safety and convenience features include adaptive cruise control, which is impressive on a city car, and the Mazda 2 also has the G-Vectoring Control Plus system for high-speed stability. Both the diesel and gasoline versions will get Mazda's i-Eloop brake energy regeneration system. The Japanese market also gets an all-wheel-drive version, which is surely a hoot despite only being available with the automatic transmission. CarAdvice says the Australian market will receive the redesigned Mazda 2 early next year, which is probably in line with the rest of the global market that gets it as a Mazda instead of a Toyota; Mazda says Japan market pre-orders have started today and official sales will begin on September 12th. It pays to remember that the base car dates back to 2014, and that the 2020 refresh is a facelift instead of a ground-up redesign. Assuming the usually expected shelf-life for the facelifted edition, the 2 will have racked up respectable mileage from the “DJ” generation bodyshell.

Toyota to boost its Subaru stake to more than 20%

TOKYO — Toyota Motor Corp plans to raise its stake in Subaru Corp to more than 20% from around 17% now, a deal that would also see the smaller firm invest in Japan's top automaker, two people with direct knowledge of the matter said on Friday. The deal is due to be approved at a Toyota board meeting on Friday, the people said, declining to be identified because the information has not been made public. The investment would come a month after Toyota and another smaller Japanese automaker, Suzuki, said they would take small equity stakes in each other. Such tie-ups highlight how automakers are scrambling to chase scale, manage costs and boost development. Traditional car makers, especially smaller ones like Subaru and Suzuki, are struggling to meet the fast pace of change in an industry being transformed by the rise of electric vehicles, ride hailing and autonomous driving. Toyota's investment is likely to cost more than 70 billion yen ($650 million) based on Subaru's stock market value, said the Nikkei business daily, which first reported the news. Subaru is likely to reciprocate with a stake in Toyota that would roughly equal the value of Toyota's additional investment, one of the people told Reuters. The companies have long worked together on projects such as the Toyota 86 and Subaru BRZ twins. At one time, Subaru built Toyota Camrys in its Indiana plant. Representatives for both Toyota and Subaru said the news was not something that had been announced by their companies. "The plan appears to be to ultimately make Subaru a fully owned subsidiary, to help create a 'mega Toyota.' This is the first step towards that," said Takeshi Miyao, managing director of Carnorama, a consultancy. "It's all about building scale." Subaru is particularly strong in sport-utility vehicles (SUV) and all-wheel-drive technology. The two automakers in June said they planned to jointly develop an electric sport-utility vehicle on a platform produced together, to split costs. Car markers around the world have been joining forces to slash development and manufacturing costs of new technology. Ford Motor Co and Volkswagen AG have said they will spend billions of dollars to jointly develop electric and self-driving vehicles. Toyota seems to be particularly keen to build scale now by investing in smaller, domestic automakers, rather than forging cross-border tie-ups like some of its rivals.

Toyota, Mazda partner to build EVs at new $1.6 billion U.S. plant

TOKYO — Toyota and Mazda plan to build a $1.6 billion U.S. assembly plant, the two said on Friday, as part of an alliance that will also see the Japanese automakers jointly develop electric vehicle technologies. The two will take small stakes in each other as part of the tie-up: Toyota, the world's second-largest automaker by vehicle sales last year, will take a 5 percent share of Mazda, extending its dominance in Japan's auto sector. Mazda will take a 0.25 percent share of its larger rival. The plant, something of a surprise at a time of overcapacity in the U.S. market, will be a boost to U.S. President Donald Trump, who campaigned on promises to increase manufacturing and expand employment for American autoworkers. The plant will be capable of producing 300,000 vehicles a year, with production divided between the two automakers, and employ about 4,000 people. It will start operating in 2021. The electric vehicles cooperation, meanwhile, comes as the tightening of global emissions regulations prompts more automakers to develop battery powered cars, as the industry struggles with hefty research costs and intense competition from technology companies over technology like self-driving cars. As part of the agreement, Toyota and Mazda will also work together to develop in-car information technologies and automated driving functions. Toyota, Japan's biggest auto company, has been forging alliances with smaller Japanese rivals for several years, effectively engineering a loose consolidation of the Japanese auto sector. It already owns a 16.5 percent stake in Subaru, Japan's No. 6 automaker, with which it also has a development partnership. Toyota is also courting compact car maker Suzuki to cooperate on R&D and parts supply as Toyota seeks to tap its smaller rival's expertise in emerging Asian markets. A stake in Mazda may also prevent future incursions by tech companies, one analyst said. "For a technology company which lacks the expertise in making cars, Mazda could look like a very interesting acquisition. They're very good, they're not too expensive. Maybe Toyota realizes this," CLSA managing director Chris Richter said. "By buying a 5 percent stake, Toyota takes Mazda off the table rather than having it sit out there like a free agent which could someday be used against them." COROLLA PRODUCTION SHIFT Mazda stands to gain from a deal that gives the small automaker a production foothold in the United States.