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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

Takata air bag recall list

The National Highway Traffic Safety Administration confirmed yesterday that 33.8 million vehicles with Takata airbags are going to be recalled. It's the largest recall in automotive history. The already record-breaking rate of automotive recalls this year shows no signs of slowing down, especially since millions of cars with defective airbags made by global supplier Takata are under ongoing scrutiny. The federal government is warning owners that inflator mechanisms in the air bags can rupture, causing metal fragments to fly out when the bags are deployed. The faulty air bags have already been blamed for multiple deaths. How do you know if your vehicle is safe? The National Highway Traffic Safety Administration released an updated list of vehicles under recall. Sometimes however, the government's website will crash and the list may not be complete. Check your VIN at the NHTSA website to make sure. The list of cars affected by the recall has not been released, but seem to span multiple models over the years for many of the automakers.

2018 Subaru BRZ Quick Spin Review | Curves required

I had a 2018 Subaru BRZ Limited with a six-speed manual and half a day to play on wet, windy roads hemmed by pine trees in the foothills of a massive mountain range. But Michigan was on my mind. Some cars work everywhere. Michigan's the perfect place to find those that do: The roads are flat and pockmarked, and the seasonal extremes are brutal. It's easy to love a car on one of those bucket-list Alpine passes, but on Michigan roads the car has to work hard to win you over. For example, the MX-5 Miata works in Michigan just fine. It's fun in all conditions in which you can get the rear tires to hook up, and some that you can't. It cheerfully entertains in traffic, on city streets, undulating but uninteresting country roads. Some grand tourers work perfectly well there, too, soaking up enough punishment from the atrocious roadways without battering the occupants. The more voluptuous Aston Martins are particularly good at this trick, and they're plenty entertaining to cruise around in — or mash it flat after a scan of a country intersection shows nothing doing for at least 50 miles in every direction. These cars have more than just compliance — they have a subjective, elusive charm in suboptimal conditions. And the 86 twins, well, aren't Miatas. The car isn't lacking in dynamic ability, of course, but there's a flatness, a one-dimensionality to it. It's simply suffocated, starving for a little bit more. It doesn't have to be this way. Put the 86 in a better situation and its foibles recede but don't disappear. Straight, pock-marked slabs are the death of the thing. So I grabbed one out West, in Washington state where I now live, and fed it revs and curves until I was satisfied that the BRZ works as intended when you keep it happy. And when it's happy, you're happy. The BRZ was on high-performance summer tires, and some of the best roads in Washington are up in the hills currently blanketed by slush and ice, so that was a nonstarter. But there's a windy, weedy little farm road bending through a river valley just 20 minutes from my house. It's got lots of sudden, blind bends — not to mention working farms — so it's not the place to exercise a Corvette Z06. But there are enough turns you can see all the way through to make it fun, and three unbelievable uphill hairpins right at the end. We're talking 15 mph posted speed limit turns, and those signs aren't far off.