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Why Japan's government is looking to curb its adorable kei car market

Each region around the world has its stereotypical vehicle. The US has the pickup and Europe the five-door hatchback; but in Japan, the kei car reigns supreme. These tiny cars are limited to just 660cc of displacement but they've also come with lower taxes to make them more affordable. To make of the most of their small size, they've often had quite boxy styling like the Honda N-One shown above, and because they're Japanese, they've often had quirky names like the Nissan Dayz Roox. However, if the Japanese government has its way, the future popularity of these little guys might be in jeopardy. The problem facing them is that Japan is an island both literally and figuratively. After World War II, the Japanese government created the class as a way to make car ownership more accessible. The tiny engines generally meant better fuel economy to deal with the nation's expensive gas, and the tax benefits also helped. It's made the segment hugely popular even today, with kei cars making up roughly 40 percent of the nation's new cars sales last year, according to The New York Times. The downside is that these models are almost never exported because they aren't as attractive to buyers elsewhere (if indeed they even meet overseas regulations). So if an automaker ends up with a popular kei model, it can't really market it elsewhere. The government now sees that as a threat to the domestic auto industry. It believes that every yen invested into kei development is wasted, and the production takes up needed capacity at auto factories. The state would much rather automakers create exportable models. To do this, it's trying to make the little cars less attractive to buy, and thus, less attractive to build. The authorities recently increased taxes on kei cars by 50 percent to narrow the difference between standard cars, according to the NYT. If kei cars do lose popularity, it could open the market up to greater competition from foreign automakers. Several companies complained about the little cars stranglehold on the Japanese market last year, but since then, imported car sales there have shown some growth thanks to the improving economy. Featured Gallery 2013 Honda N-One View 20 Photos News Source: The New York TimesImage Credit: Honda Government/Legal Honda Nissan JDM kei kei car

Honda nav concept replaces head unit with Android phone

The desire for better in-car tech without compromising safety is what led Drivemode co-founders Yo Koga and HK Ueda to create their auto-centric Android app. It presents a clutter-free UI specifically meant for driving. The single-button, no-look interface uses display-wide swipes and taps and presents audio cues to help keep your eyes on the road -- and not the glowing rectangle you have mounted to your dash. With over 400,000 downloads, the app has gotten the attention of not just drivers, but also major automakers, including Honda. The carmaker has partnered with Drivemode to create a concept vehicle that completely replaces the head unit with a phone. It's not just shoving an Android device into the dash either; the head unit is completely integrated with the car's controls. For instance, the buttons on the wheel that usually control the radio now control the app. Additionally, the backup and right-side blindspot cameras are now displayed on the phone too. Honda and Drivemode say this is still just a concept and potentially years away from actually happening. But it's part of a larger plan to build an app for automakers; a way to offer its software replacement for the traditional in-dash system. In the meantime, though, Drivemode is looking for other ways to make a bit safer. For instance, Ueda says the app will eventually support aftermarket Bluetooth backup and blindspot cameras. So, drivers can buy the cameras and mount them to their cars, allowing them to have an additional safety feature, even if their vehicle didn't have that option when purchased new. In particular, the Drivemode team sees an opportunity in lower-end vehicles that are less likely to come pre-installed with Android Auto or Apple CarPlay. The app replicates many of the features found in those systems which tend to be found in medium to high-end cars. For drivers who can't afford the trim levels that offer those smartphone-integrating options (or are are not looking to upgrade their whip), they can still enjoy a more integrated driving experience without weaving all over the road trying to launch Spotify. Unfortunately, the app is for Android only right now, but Drivemode is looking for additional funding to build an iOS version. Related Video: This piece by Roberto Baldwin originally appeared on Engadget, the definitive guide to this connected life. Auto News Honda android android auto nav

Honda execs take 'quality-related' pay cut after Fit Hybrid's 5th recall

Generally, the best policy in life is to admit when you're wrong and just accept the consequences. However, that attitude generally seems to be a bit less common in the world of business - at least without some government or legal prodding. So, it's especially surprising to learn that top Honda executives in Japan are taking a pay cut for the next three months following the fifth recall of the Fit Hybrid (pictured above) in the last 12 months.
According to Reuters, Chief Executive Takanobu Ito is taking a 20-percent pay cut to make amends for the quality issues. Also, 12 other high-ranking executives are taking 10 percent drops in their salaries. In addition to those temporary changes, Honda is creating a new position in charge of monitoring vehicle quality.
The latest recall fixes "noise-related defects," according to Reuters, on both the hybrid and naturally aspirated versions of the Fit, both variants of the Vezel (the sibling to the future HR-V in the US) and the N-WGN. There have also been three recalls for problems with the hybrid's seven-speed dual-clutch transmission. None of them have caused reported injuries or deaths, and these issues haven't affected US models.