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Scion pondering move upmarket?

Scion is simultaneously celebrating its ten-year anniversary with the 10 Series models and trying to figure out what to do with itself over the next ten years. Once a go-to consideration for young, first-time buyers who wanted something cool and different, in 2013 it has a model everyone is still talking about in the FR-S, a model few are still talking about in the iQ, and three models in between in the tC, xB and xD that make everyone wonder, "What happened?"
Automotive News spoke to Toyota's North American CEO, Jim Lentz - he was the VP in charge of Scion when it launched - about the options, and Lentz said one of them could be a move upmarket to challenge the established luxury brands that are moving downmarket. "There's going to be a big need in the $25,000 range for a fun-to-drive, nice-looking, value-oriented product," he said, and the FR-S, which starts at $25,255, could provide the platform for Scion to climb up a notch or two in price and perception. An idea like this could conceivably work in tandem with a proposal to move entry-level Scion products over to the Toyota brand - but remember, this is all just ideas on a whiteboard at the moment.
As opposed to an "entry-luxury fighter," the brand could swing back to the other option that was considered when it was formed, directly challenging the Korean makes that have usurped its cachet with first-time buyers. Lentz said Scion could go either way, and the tone of the piece seems to indicate that the final direction is still a ways away from being resolved.

Mazda's new Mexican plant capacity rises to 230,000

After the turmoil of last year, 2013 is getting off to a much better start for Mazda. The company has issued a release indicating that the forthcoming plant in Salamanca, Mexico has had its production capacity raised even though it isn't scheduled to go online until March 2014. The original plans called for a 140,000-unit capacity, 90,000 of that allotted for the Mazda2 and Mazda3, the remaining 50,000 for a small car Mazda would build for Toyota that would be based on the Mazda2. The new plans call for raising that by 90,000 units to a total of 230,000 units within two years, by the end of March 2016, and it looks like it will all go toward Mazda production to satisfy growing demand for Skyactiv vehciles. The Mexican plant's opening will be the return of Mazda manufacturing to North America, after Mazda6 production was moved back to Japan last year.
More good news for the company is that it projects 10 billion yen ($114 million) in net income for the financial year that will end in March. That would be a welcome turnaround from the 100-billion-yen loss in the previous financial year, part of a series of three annual losses in a four-year span.
You'll find the press release with the factory update below.

Toyota 86 most likely to get more power through more displacement? [w/poll]

The Sydney Morning Herald has spoken to Tetsuya Tada, chief engineer of the Toyota 86 (our version of it, the Scion FR-S, is pictured above), and they've been promised that more power is on the way. We've heard a lot of speculation about a more powerful Toyobaru since before the standard model was even launched. The only question now is how the power will be delivered, and among the engine concepts we've already heard about - turbo, supercharger, twin-charged, hybrid - is a new one: more displacement.
Tada said that an engine with more displacement than the current coupe's 2.0 liters is being tested alongside a turbocharged and a hybrid-assisted motor. The SMH cites "inside sources" as saying the displacement option is the one likely to get the go-ahead, and suggests increased bore and stroke will see the engine grow to 2.5 liters, horsepower to about 250 - a 50-hp increase over the present car.
While that's apparently the betting man's solution for the long-awaited increase in gumption, what happens with the next generation could be more wide open than we suspected. According to the report, Tada "hinted that [a successor] could be a radically different car, potentially dropping the boxer engine altogether." He said once they've sorted out the concept for the second generation car, then they'll sort out an engine. That's where a turbo option could come to market, perhaps the turbocharged four-cylinder Toyota is developing for the Lexus NX crossover or a hybrid system that uses a capacitor.