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Mazda hard at work on Skyactiv 2 engine technology

As Mazda continues the current rollout of its still-new Skyactiv technology, the automaker is already looking at improving its family of engines for even better fuel economy and emissions reductions. Automotive News reports that with stricter fuel economy and emissions regulations planned for 2020 and 2025 in Europe, Mazda will likely release engines with next-generation Skyactiv 2 technology by the end of this decade, and Skyactiv 3 units just five years later.
The latter is expected to focus on improved engine cooling and lessening energy losses, but the big news in AN's report is that the next-gen Skyactiv 2 engines will use Homogeneous Charge Compression Ignition, or HCCI. This type of ignition is very similar to how a diesel engine operates (with high compression and using the compression stroke for fuel combustion rather than spark plugs), a method said to provide a cleaner and more efficient fuel burn - to the tune of a 30-percent improvement in fuel economy compared to current Skyactiv engines. Other automakers, including Hyundai, have already announced they are developing HCCI powerplants with similar technology and characteristics, so Mazda likely won't be a lone wolf here.
Equipped with HCCI technology, Mazda figures to be able to compete with larger automakers in terms of fuel economy and emissions without resorting to hybrid powertrains, continuously variable transmissions or automatics relying on more forward gears (eight or more) for optimal efficiency. Some of the challenges of HCCI, according to AN, include the need for better engine cooling, risk of misfire at high and low rpm and uneven engine performance based on fuel properties.

Mazda plans to launch an EV in 2020, plug-in hybrid by 2022

Thanks to an interview Automotive News Europe conducted with Mazda president and CEO Akira Marumoto, we have more insight on Mazda's plans to lower its vehicle emissions in Europe. This will undoubtedly bring changes to the U.S. lineup, too, but The Continent sees the first fruits in part because Mazda is well over the European Union's fleet CO2 emissions target for 2021 of 95 g/km. In response to how Mazda plans to achieve the necessary reduction, Marumoto said the carmaker will launch its first EV in 2020 and have a plug-in hybrid on the road in 2021 or 2022. First, some clarification on the emissions numbers and timeline. The 95g/km figure is based on the New European Driving Cycle (NEDC) emissions schedule being phased out next year; the AN piece cites JATO Dynamics findings that Mazda Europe's fleet CO2 average is 135.2 g/km. The new Worldwide Harmonised Light Vehicle Test Procedure (WLTP) schedule comes into full effect in 2020, the fleet CO2 target under that methodology translating to 114.9 g/km. The rules dictate that 90 percent of an automaker's range needs to meet the cap number by the end of 2020, the rest of the lineup must come into compliance by the end of 2021. Failure means enormous fines. Industry analyst IHS Markit estimates "average fines for those not complying could reach ˆ624 ($707) per vehicle at the end of 2020, with a further ˆ190 ($215) increase in 2021." The penalties quickly grow so large that Fiat will reportedly pay Tesla hundreds of millions of euros to pool their fleets and avoid an even larger bill. Mazda's most popular vehicle in Europe is the CX-5 with CO2 emissions ranging from 128 g/km to 150 g/km. On top of that, for a small automaker, the size of potential fines has material effect on the R&D budgets necessary to develop the technologies that will lower emissions, and whatever EV Mazda launches in 2020 needs to sway legions of customers into purchases to be of practical use. This will be challenging. A line in the IHS Markit summary about the industry in general states, "Once in 2021 and subject to full WLTP regulatory monitoring, only a seismic shift (over the baseline) in consumer demand for BEV ('Electric-Plug-In') and PHEV ('Hybrid-Full Plug-In) will result in the full mitigation of EU28 fleet level excess emissions premiums." Mazda hooked up with Toyota and Denso in 2017 on a joint venture called EV Common Architecture Spirit Co Ltd to develop EV technology.

Mazda begins building Mazda3 in Mexico for US

With fluctuations in international currencies and rising shipping costs to take into account, foreign automakers can't get away with building cars overseas and selling them in North America as easily as they used to. Particularly with inexpensive mainstream models. And given the benefits of cheaper labor and free trade under NAFTA, many have opted to assemble their cars for the North American market in Mexico. That's why the likes of Toyota, Mercedes and BMW have all opened plants in Mexico. And now Mazda has followed suit.
Ground was initially broken for Mazda de Mexico Vehicle Operations at Salamanca in the state of Gunajuato back in 2011, but production has just now gotten under way. The first vehicle to roll off the line? A Mazda3 sedan destined for the United States. Soon, the plant will begin production of the next Mazda2 as well, selling it alongside its larger counterpart across the Americas and in Europe as production expands to 230,000 units annually. For more information, see the official press release below.