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Auto blog
Japan could consolidate to three automakers by 2020
Thu, Feb 11 2016Sergio Marchionne might see his dream of big mergers in the auto industry become a reality, and an analyst thinks Japan is a likely place for consolidation to happen. Takaki Nakanishi from Jefferies Group LLC tells Bloomberg the country's car market could combine to just three or fewer major players by 2020, from seven today. "To have one or two carmakers in a country is not only natural, but also helpful to their competitiveness," Nakanishi told Bloomberg. "Japan has just too many and the resources have been too spread out. It's a natural trend to consolidate and reduce some of the wasted resources." Nakanishi's argument echoes Marchionne's reasons to push for a merger between FCA and General Motors. Automakers spend billions on research and development, but their competitors also invest money to create the same solutions. Consolidating could conceivably put that R&D money into new avenues. "In today's global marketplace, it is increasingly difficult for automakers to compete in lower volume segments like sports cars, hydrogen fuel cells, or electrified vehicles on their own," Ed Kim, vice president of Industry Analysis at AutoPacific, told Autoblog. Even without mergers, these are the areas where Japanese automakers already have partners for development. Kim cited examples like Toyota and Subaru's work on the BRZ and FR-S and its collaboration with BMW on a forthcoming sports car. Honda and GM have also reportedly deepened their cooperation on green car tech. After Toyota's recent buyout of previous partner Daihatsu, Nakanishi agrees with rumors that the automotive giant could next pursue Suzuki. He sees them like a courting couple. "For Suzuki, it's like they're just starting to exchange diaries and have yet to hold hands. When Toyota's starts to hold 5 percent of Suzuki's shares, this will be like finally touching fingertips," Nakanishi told Bloomberg. "I absolutely do believe that we are not finished seeing consolidation in Japan," Kim told Autoblog. Rising development costs to meet tougher emissions regulations make it hard for minor players in the market to remain competitive. "The smaller automakers like Suzuki, Mazda, and Mitsubishi are challenged to make it on their own in the global marketplace. Consolidation for them may be inevitable." Related Video:
'Butching up' the 2017 Honda Ridgeline
Fri, Feb 12 2016Honda has announced a number accessories for the Ridgeline at the Chicago Auto Show: black roof rails, cross bars, running boards, and fender flares; a skid plate; a hard tonneau cover; special 18-inch wheels with all-terrain tires; and a towing kit. Most of these items are to be expected, while a few others raise an eyebrow. It appears that Honda is testing the waters to see if there is an audience for a "butched up" Ridgeline. The skid plate, fender flares, and all-terrain tires all move it a step in that direction visually. I'm not absolutely certain, but I don't think these accessories, which have a slight nod towards off-roading, have been offered by Honda in the past. Perhaps an informed reader can clarify that? There's been no word yet as to whether the tire size is larger, but looking at the image, it appears the tire may have a slightly taller sidewall. I believe the factory 18-inch tire offered is a 265/60, so this may be a 265/65 tire. Again, someone at the Chicago show could clarify this. As tepid as this may seem, it's a start. That's the good news. If these items prove successful, they may just push Honda enough to offer a beefed up trim level. Fingers crossed. This concludes my series of Ridgeline reports. I'm hoping to be at the New York Auto Show in March, and the Ridgeline is on my list of vehicles to crawl all over. If I learn of anything new, you can be assured I will report it here. Related Video: Image Credit: Honda Honda Truck open road
Nissan Rogue gives brand rare monthly sales lead over Honda
Tue, 04 Feb 2014The five top-selling brands in the automotive industry are usually Ford, Toyota, Chevy, Honda and Nissan, in that order. This lineup emerged intact when counting a year's worth of sales for 2013, and there was no reason to expect it would change at the beginning of 2014. But it did. Thanks to surging sales of its all-new Rogue, Nissan managed to pull ahead of Honda to become the fourth best-selling auto brand in January 2014, selling 81,472 units (an increase of 10.41 percent compared to January 2013) to Honda's 80,808 (a decrease of 3.96 percent).
The Rogue led the way for Nissan, contributing an additional 4,880 units in January compared to the same month last year - a 54.5-percent increase for a grand total of 13,831 units. But the Rogue had help, with the Frontier pickup adding an extra 2,307 units (an 87.9-percent increase), the Juke an extra 1,081 units (a 45.8-percent increase), the Altima an extra 1,051 units (a 4.9-percent increase) and the Maxima an additional 983 units (a 32.9-percent increase). Honda, meanwhile, was hurt by falling sales of the Accord (down 13.9 percent) and Pilot (down 7.6 percent), and stagnant sales of the Civic.
Honda, however, should take pride in the fact that it's luxury division, Acura, outsold Infiniti, Nissan's luxury division, last month - 10,823 units sold to 8,998. That margin of victory was large enough to keep the parent company of American Honda ahead of Nissan North America for the month of January.