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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

2018 Mitsubishi Outlander PHEV Quick Spin Review | Why doesn't everyone make one of these?

The 2018 Mitsubishi Outlander PHEV took a remarkably long time to get to the United States. It went on sale in Europe in 2013, and was originally planned to come to America the year after, but didn't arrive until late in 2017. Mitsubishi was also fortunate that, in the time it took to finalize the American model, the entry-level competition remained primarily sedans and sedan-like hatchbacks, with the exception of the Niro PHEV, a crossover smaller than Outlander, and closer to a traditional hatchback. So the question is, was it worth the wait, and is it worth considering against other plug-in hybrids? A mostly frugal and very smooth powertrain The big appeal of the Outlander PHEV is of course its plug-in hybrid powertrain. It comprises a naturally aspirated 2.0-liter four-cylinder, and two electric motors, one up front, one in the rear. This powertrain can function in three different ways. There's full electric mode, series hybrid mode (the gas engine acts like a generator, and propulsion is handled solely by the electric motor), and parallel hybrid (a clutch engages the engine to the front motor for additional propulsion assist). The Outlander switches automatically between these operational schemes depending on drive mode settings. For example, with a full charge you can press a button to keep it in EV mode, at least as long as there's enough battery power. Two other buttons can allow you to save the battery charge for use later, such as in town after a highway drive, and a charge button to replenish the battery level while driving. Because of this powertrain layout, the Outlander PHEV drives much like an all-electric car most of the time. It's nearly silent except when the engine kicks on, or when accelerating or decelerating hard. In the case of the latter, you can pick up a faint, futuristic whir from the motors. It feels very smooth thanks to a lack of transmission shifts. The throttle is responsive since there's no CVT adjusting ratios or a torque converter making responses a little slushy. And of course there's the instant torque that all electric motors provide, which makes the Outlander spunky around town. You can even adjust the strength of the battery regeneration by putting it from "D" for drive into "B." Then you can set the strength via the steering wheel paddles. Also impressive is the fact that the powertrain is still quite smooth and quiet when the engine fires up.

Mitsubishi Super Height K-Wagon previews the kei car of the 2020s

The door-less, turbine-electric Mi-Tech concept was the uncontested star of the Mitsubishi display at the 2019 Tokyo Motor Show, but the Japanese firm also unveiled a close-to-production design study named Super Height K-Wagon that accurately previews its next family of kei cars. It transcends the historic city-only vocation by letting owners comfortably drive further. The Super Height K-Wagon's proportions are about what you'd expect from a kei car, but its front end falls in line with Mitsubishi's current design language by adopting the X-shaped motif seen on other models, like the Eclipse Cross. Even a humble kei car can't escape crossoverization; designers echoed Mitsubishi's SUVs by adding black plastic trim over the wheel arches and the rocker panels. Mitsubishi took advantage of the concept's relatively long wheelbase to carve out a spacious, family-friendly interior. The driver sits higher than in a normal city car, like the Mirage, and the rear passengers take their seats after opening a van-like sliding door. Clever use of space has always been a trademark of kei cars, and the Super Height K-Wagon is no exception. Technical specifications remain vague. Mitsubishi outlined a high-performance engine that shifts through a continuously variable transmission (CVT). To qualify for kei car status, its engine can't displace more than 660 cubic centimeters, and it can't make more than 63 horsepower. And, proving once again that small doesn't always mean basic, the Super Height K-Wagon is packed with electronic driving aids like a collision-mitigation system, and lane-keeping assist. Mitsubishi boss Takao Koto called the Super Height K-Wagon concept the second wave of next-generation kei cars, and confirmed the concept will enter production by the end of the current fiscal year, which ends on March 31, 2020. Don't expect to see it in the United States, though. Featured Gallery Mitsubishi Super Height K-Wagon concept Tokyo Motor Show Mitsubishi Minivan/Van Concept Cars 2019 tokyo motor show