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Japan may aid carmakers facing U.S. tariff threat

TOKYO — Japan is considering giving carmakers fiscal support including tax breaks to offset the impact from trade frictions with the United States and a sales-tax hike planned for next year, government sources told Reuters on Wednesday. Going into a second round of trade talks with the United States on Sept. 21, Japan is hoping to avert steep tariffs on its car exports and fend off U.S. demands for a bilateral free trade agreement that could put it under pressure to open politically sensitive markets, like agriculture. "If the trade talks pile pressure on Japan's car exports, we would need to consider measures to support the auto industry," a ruling party official said on condition of anonymity because of sensitivity of the matter. The auto industry accounts for about 20 percent of Japan's overall output and around 60-70 percent of the country's trade surplus with the United States, making it vulnerable to U.S. action against Japanese exports. Japan's biggest automakers and components suppliers fear they could take a significant hit if Washington follows through on proposals to hike tariffs on autos and auto parts to 25 percent. Policymakers also worry that an increase in the sales tax from 8 percent to 10 percent planned for October 2019, could cause a slump in sales of big-ticket items such as cars and home. Prime Minister Shinzo Abe has twice postponed the tax hike after the last increase from 5 percent in 2014 dealt a blow to private consumption, which accounts for about 60 percent of the economy. To prevent a pullback in demand after the tax hike, the government may consider large fiscal spending later when it draws up its budget for next year, government sources said. "One option may be to greatly reduce or abolish the automobile purchase tax," one of the government sources said. The government is also considering cuts in the automobile tax and automobile weight tax to help car buyers, the source added. Reporting by Izumi Nakagawa and Tetsushi KajimotoRelated Video: Image Credit: Getty Government/Legal Isuzu Mazda Mitsubishi Nissan Subaru Suzuki Toyota Trump Trump tariffs trade

Mazda6, Honda CR-V and an Autoblogger's BMW Z3 | Autoblog Podcast #620

In this week's Autoblog Podcast, Editor-in-Chief Greg Migliore is joined by West Coast Editor James Riswick and Road Test Editor Zac Palmer. First, they talk about the cars that have been in their driveways, like the Mazda6, Lexus UX 250h and Honda CR-V, as well as Riswick's own BMW Z3 (where he actually recorded the podcast from). Then they discuss the news, which includes car dealers moving to digital commerce and other updates about — you guessed it — coronavirus, and how it's affecting the automotive industry. Finally, they take to Twitter to help a follower choose a weekend convertible for long, isolated drives in this week's "Spend My Money" segment. Autoblog Podcast #620 Get The Podcast iTunes – Subscribe to the Autoblog Podcast in iTunes RSS – Add the Autoblog Podcast feed to your RSS aggregator MP3 – Download the MP3 directly Rundown Cars we're driving 2020 Mazda6 Signature 2020 Lexus UX 250h Honda CR-V 1998 BMW Z3 2.8 Virtual dealers Coronavirus update Spend My Money Feedback Email – Podcast@Autoblog.com Review the show on iTunes Related Video:

Turbocharged 2018 Mazda6 EPA mileage figures released

A few months after the reveal of the new turbocharged variant of the Mazda6, we now know how much more fuel the force-fed family sedan will require. The EPA rating puts it at 31 mpg on the highway, 23 in the city and 26 combined. That is less than the naturally aspirated model with either an automatic transmission or a manual, the former of which gets 35 mpg highway, 26 in town and 29 combined. But the naturally aspirated Mazda6's 184 horsepower and 185 pound-feet of torque are well short of the turbo engine's 250 horsepower and 310 pound-feet. The turbo Mazda6's fuel economy also puts it right in the range of similarly powerful sedans in the mid-size arena. In fact, almost every 2018 2.0-liter turbocharged sedan in the segment gets 26 mpg combined, including Kia Optima, Hyundai Sonata, Chevy Malibu, Buick Regal, and most versions of the Honda Accord, with only a difference of 1 or 2 mpg in city or highway results. The V6 Toyota Camry and Nissan Altima also hit this 26 mpg fuel economy mark. As far as power is concerned, the Mazda6 is also very even with the competition, most of which makes right around 250 horsepower, though the Toyota Camry's naturally aspirated V6 is a class-leader at 301 horsepower. But the 6's advantage is in torque. None of the mainstream family sedans touch the Mazda's whopping 310 pound-feet. The 2.0-liter Honda Accord and Ford Fusion come the closest at 273 and 275 pound-feet respectively. To beat the Mazda6 would require going for the Ford Fusion Sport, which is a unique step up in the segment with a turbocharged V6 making 380 pound-feet. The Fusion Sport takes a serious hit in the fuel economy department, though, getting just 20 mpg combined. Related Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.