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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

2019 Subaru Forester: Refined by evolution

Here it is, the all-new 2019 Subaru Forester, a lot like it was before, and a lot different. Spy shots clued us in to evolutionary exterior on this fifth generation, which Subaru dubs "a more rugged style." Taking cues from the Ascent, instead of bodysides decorated with a couple of character lines, Subaru designers stressed the sculpture of the entire span. In front, A larger, black gloss-finish grille cuts deeper into the bumper from the top. The headlight housings carry over in shape, but now hold LED lamps standard on all trims. Along the sides, punched-out wheel arches frame an angled shoulder that cuts into the C-pillar and wraps around the side glass. Design tweaks and the move to Subaru's Global Platform bring a 1.2-inch longer wheelbase and 1.4 more inches of rear legroom. Occupants up front sit in new, more comfortable seats and enjoy more space in the center tunnel thanks to an electronic parking brake. In back, wider rear door openings and a steeper C-pillar allow easier ingress. The tailgate opening increases by 5.3 inches in width, onto a squarer cargo area with a flatter floor and a standard cargo tray. An interior LED illuminates the load bay when the tailgate's open, an exterior floodlight shines outside the rear of the crossover. Lower the rear seats and access 76.1 cubic feet of loading room, 1.9 cu. ft. more than before. The carmaker says you can put golf bags in the car sideways without needing to tilt them, an arcane, yet commendable, achievement. A trim shakeup adds a new variant, the lineup being Base, Premium, Limited, Touring, and a new Sport model. Base and Premium ride on 17-inch wheels, the others get 18-inchers. All Foresters are powered by an "enhanced" version of the present 2.5-liter boxer four-cylinder with direct injection, higher compression, and active exhaust valve control. The engine now makes 182 horsepower, a 12-hp improvement, and 176 pound-feet of torque, a 2-lb-ft improvement. For you Forester experts, that means yes, the 250-hp, 2.0-liter turbocharged engine vacates the premises. Every trim gets a Lineartronic CVT and stop/start. Touring and Sport models get a manual mode and paddle shifters, mimicking a seven-speed gearbox. The Subaru Intelligent Drive (SI-DRIVE) offers Intelligent and Sport drive modes (Sport Sharp on the Sport trim); Intelligent prioritizes fuel economy, Sport maximizes thrills. Fuel economy reaches as high as 33 miles per gallon on the highway, depending on trim.

You can buy the last Subaru rally car driven by Colin McRae

Colin McRae continued entertaining the fans for years after retiring from competing full-time in the World Rally Championship – though sadly not for enough of them. His last public appearance was at the 2007 Goodwood Festival of Speed, driving the car you see here to the crowd's delight. And now it could be yours. Though it may look mostly like any ordinary Subaru Impreza WRX STI, this is a full-on S12B rally machine. Petter Solberg drove it for the factory Subaru World Rally Team throughout most of the 2007 World Rally Championship, scoring two podium finishes. That would make it desirable enough as it is, but then McRae drove it up Lord March's front lawn (see the video below) to cement its place in history. It was the last time McRae drove in public before he died in a helicopter crash near his home in Scotland just months later. The vehicle has since been stripped down to its shell and completely rebuilt to showroom condition. It has only put on a little over 200 miles since the engine was rebuilt, and the clutch was replaced just 50 miles ago. It has new seats and harnesses, fire extinguishers, brake discs and pads, the suspension has been fully rebuilt, the wheels powder-coated afresh.... top-notch, in other words. C&M Motors out of Omagh, Northern Ireland, has it listed on RallySales.com with an asking price of GBP159,500 – equivalent to just over $230k at current exchange rates. That would put it in contention as one of the most expensive Subarus we've ever seen, rivaling the $238k which Sports Car Market records as having been paid for another ex-McRae Impreza just this past October. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.