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Japanese automakers welcome North American trade deal, fear what's next

TOKYO — Toyota, Nissan and Mazda welcomed on Tuesday the revised North America trade deal that left Japanese automakers unscathed, but they may face a bumpy ride when Washington and Tokyo hold new talks on over $40 billion of annual U.S. auto imports from Japan. The United States and Canada reached an agreement on Sunday to update the 1994 North American Free Trade Agreement after Washington had forged a separate trade deal with Mexico in August. The updated deal effectively maintains the auto industry's current footprint in North America, and spares Canada and Mexico from the prospect of U.S. national security tariffs on their vehicles. Mazda, which ships cars to the United States from Mexico and Japan, called the deal a "big step forward". Nissan, which makes the cars it sells in the United States locally as well as in Mexico, Japan and other countries, said it was "encouraged" by the agreement. Toyota, Japan's biggest automaker, said it was "pleased" that a basic deal was reached. Other automakers were not immediately available for comment. While the deal has removed the risk that the disintegration of the pact would have posed to automakers, bigger risks loom large for Japanese firms as a chunk of the roughly 7 million cars they sold in the U.S. last year were shipped from Japan, and a trade deal between Washington and Tokyo has yet to be agreed. The United States and Japan last week agreed to begin fresh trade talks, with U.S. President Donald Trump seeking to address Japan's $69 billion trade surplus, of which nearly two-thirds comes from auto exports. Washington is also investigating the possibility of slapping 25 percent tariffs on auto imports on national security grounds, although it has agreed with Japan to put any new tariffs on hold during the talks. Analysts say the United States may take a tougher stance on auto imports from Japan than from its neighbors. "If Japan requests an exemption from the 25 percent tariffs under consideration, Washington could propose a more strict cap on imports than it agreed to with Mexico and Canada," said Koji Endo, senior analyst at SBI Securities. "That would be a risk." This could be a big blow to Japan, as the United States is a key source of revenue for Japanese automakers including Toyota, Nissan and Honda. The U.S. market accounts for a quarter or more of their annual global vehicle sales, and of their total U.S.

Honda and Isuzu announce hydrogen partnership for heavy-duty trucks

TOKYO — Japan's Honda and Isuzu on Wednesday said they would jointly research the use of hydrogen fuel cells to power heavy-duty trucks, looking to expand fuel cell use by applying the zero-emission technology to larger vehicles. As part of a two-year deal, Isuzu will test Honda's fuel cell powertrain, which was designed for passenger cars, in Isuzu's commercial trucks, the companies said, which could pave the way for using the technology in a wider range of vehicles. Automakers are looking to develop more electric vehicles (EVs) to comply with tightening global emissions regulations. Many see battery-powered EVs as a solution for passenger cars in urban settings, but a growing number see hydrogen fuel cells as an effective way to power trucks, buses and other big vehicles. "Although we have done extensive R&D into passenger FCVs (fuel cell vehicles), we have not been able to study how best to apply the technology to commercial vehicles," a Honda spokesman told reporters at a briefing. "This partnership will allow us to do that." Fuel cell vehicles generate their own electricity using hydrogen stored in onboard tanks. This enables them to travel longer distances and refuel more quickly than battery EVs, while using less costly energy storage systems. "We think that FCV technology is well suited for heavier trucks which travel longer distances, and this partnership will enable us to examine this further," an Isuzu spokeswoman said, adding that the truck maker was also developing various lower-carbon powertrains including battery-electric technology for shorter-distance vehicles. With its Clarity Fuel Cell sedan, Honda is one of a handful of automakers which have developed and marketed fuel cell-powered passenger cars. Light- and medium-sized truck specialist Isuzu has for years has focused on diesel engine technology and has yet to market fully electric vehicles. But a price tag starting around $70,000 for the Clarity and scant hydrogen fueling infrastructure globally, Honda has seen limited take-up of that model and other FCVs since they began marketing them around 2015. In 2018 Honda sold just 654 Clarity FCVs, which are available only in Japan and the United States through leasing programs, compared with Honda's total annual global sales of 5.23 million cars.

The Honda Ridgeline returns for 2017

The midsize truck segment is red hot right now, thanks to the new Chevy Colorado and GMC Canyon twins, not to mention the redesigned Toyota Tacoma. So after killing the unibody Ridgeline truck a few years ago, Honda's back with another attempt. The 2017 Ridgeline keeps all of the old truck's rhythms intact, in a fresh, modern package. Slab-sided and with a tweaked version of the new Pilot's face, the Ridgeline is at the very least a brawny looking pickup. Honda says the truck's bed is five feet wide and five feet, four inches long, two figures that are larger than the first-gen Ridgeline, not to mention the four-door versions of the Chevrolet Colorado and Toyota Tacoma. But while those trucks offer different cab and bed configurations, the Ridgeline should be a one-size-fits-all affair. Keeping with that theme, the Ridgeline only offers V6 power, courtesy of Honda's excellent 3.5-liter VTEC six-pot. Honda doesn't give any power figures, but the Pilot does its job with 280 horsepower and 262 pound-feet of torque, so we expect similar numbers for the Ridgeline. But here, Honda will forgo the Pilot's nine-speed automatic in favor of a more traditional six-speed box. An optional torque-vectoring all-wheel-drive system is available, but base Ridgelines will send power to the front axle only. Yes, a front-wheel-drive pickup truck. This one's definitely not for those who need true truck capability. Here's the best thing we can say about the new Ridgeline: it will continue to be a stellar tailgating partner. The first-gen truck was perfect for partying before a big game. There was room for four, and the ample bed had plenty of room for stuff and featured a unique dual-opening tailgate for easy unloading. The highlight, though, was a drainable, water-tight, 8.5-cubic-foot compartment built into the bed. A bed to sit in, and a place for the drinks. And a secure place to hold cargo the rest of the time. Those innovative features are joined by an industry first in-bed stereo system. In the cabin, that stereo system will be able to pump out the tunes from an eight-inch touchscreen infotainment system that comes complete with Apple Car Play and Android Auto.