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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

2022 Mitsubishi Outlander leaks via photo shoot

The 2022 Mitsubishi Outlander is making the rounds on social media this week after being spotted at a photo shoot, confirming a design we first saw in Geneva last year.  Mitsubishi's new crossover was spotted staging for photos by an anonymous photographer, who snapped a few choice shots and shared them with allcarnews on Instagram. The quality of the photos is far from fantastic, but there's enough detail to confirm that the new Outlander will be an almost direct lift of the Engelberg Tourer Concept which Mitsubishi showed in Geneva last year. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. There's also an obvious resemblance to the Outlander prototype caught in spy photos last year. The production model appears to retain the concept's discrete roof panel (which makes it ideal for contrasting colors like those on the show car) and the chipmunk-cheek styling around the headlights. The concept was ostensibly powered by a plug-in hybrid system (like the one found in the current Outlander PHEV, but with a 2.4-liter inline-4 engine rather than a 2.0-liter unit). Electric range was an estimated 43 miles, which also improves on the existing Outlander PHEV's 22 miles. The powertrain for non-hybrid Outlanders is more of a mystery. Reports from earlier this year suggest that the gasoline version could share powertrains with Nissan, which still owns a controlling stake in Mitsubishi. In exchange, Mitsubishi would supply its PHEV for the small Nissan Qashqai crossover, which is sold in the United States as the Rogue Sport. If that happens, and assuming Nissan brings it here, the Rogue Sport would be Nissan's first PHEV in the U.S. Related Video:

Refreshed Mitsubishi Eclipse Cross spied, loses Aztek-style rear hatch

Despite being the brand's freshest model, the Mitsubishi Eclipse Cross is already getting a styling update. The subcompact crossover prototype shown above has a mildly updated nose, and a significantly revised rear hatchback to give it a more conventional look. The rear of the car is the biggest change, so we'll start from there. The current Eclipse Cross has a controversial hatch with slanted main window and a smaller upright window lower down. Detractors liken it to the Pontiac Aztek. This updated model removes it altogether, in favor of one large slanted window. This also helps the back of the Eclipse Cross look a little less tall and blunt. The taillights are redesigned, too, to accommodate the new hatch. They don't span the full width of the hatch, and they might not extend up the rear pillars anymore either.. At the front, changes are more subtle. The headlights that extend off the grille look thinner, and may now simply be running lights, while the larger lights underneath may be the main headlights. The grille also looks more squared off in the lower section, similar to the grilles on the new L200 pickup and Mi-Tech concept. This prototype looks close to production-ready, and since it's just a mid-cycle refresh, we're expecting it to be revealed for the 2021 model year. It will likely continue to come with a turbocharged 1.5-liter inline-4 engine, a CVT and either front-wheel drive or all-wheel drive. Related Video: