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Japanese automakers welcome North American trade deal, fear what's next

TOKYO — Toyota, Nissan and Mazda welcomed on Tuesday the revised North America trade deal that left Japanese automakers unscathed, but they may face a bumpy ride when Washington and Tokyo hold new talks on over $40 billion of annual U.S. auto imports from Japan. The United States and Canada reached an agreement on Sunday to update the 1994 North American Free Trade Agreement after Washington had forged a separate trade deal with Mexico in August. The updated deal effectively maintains the auto industry's current footprint in North America, and spares Canada and Mexico from the prospect of U.S. national security tariffs on their vehicles. Mazda, which ships cars to the United States from Mexico and Japan, called the deal a "big step forward". Nissan, which makes the cars it sells in the United States locally as well as in Mexico, Japan and other countries, said it was "encouraged" by the agreement. Toyota, Japan's biggest automaker, said it was "pleased" that a basic deal was reached. Other automakers were not immediately available for comment. While the deal has removed the risk that the disintegration of the pact would have posed to automakers, bigger risks loom large for Japanese firms as a chunk of the roughly 7 million cars they sold in the U.S. last year were shipped from Japan, and a trade deal between Washington and Tokyo has yet to be agreed. The United States and Japan last week agreed to begin fresh trade talks, with U.S. President Donald Trump seeking to address Japan's $69 billion trade surplus, of which nearly two-thirds comes from auto exports. Washington is also investigating the possibility of slapping 25 percent tariffs on auto imports on national security grounds, although it has agreed with Japan to put any new tariffs on hold during the talks. Analysts say the United States may take a tougher stance on auto imports from Japan than from its neighbors. "If Japan requests an exemption from the 25 percent tariffs under consideration, Washington could propose a more strict cap on imports than it agreed to with Mexico and Canada," said Koji Endo, senior analyst at SBI Securities. "That would be a risk." This could be a big blow to Japan, as the United States is a key source of revenue for Japanese automakers including Toyota, Nissan and Honda. The U.S. market accounts for a quarter or more of their annual global vehicle sales, and of their total U.S.

2020 Nissan Maxima and Pathfinder Rock Creek | Autoblog Podcast #602

In this week's Autoblog Podcast, Editor-in-Chief Greg Migliore is joined by Consumer Editor Jeremy Korzeniewski and Assistant Editor Zac Palmer. This week, they've been driving the Nissan Maxima, Mercedes-Benz Metris Cargo Van, Mazda3 sedan and Nissan Pathfinder Rock Creek, and they talk about their experiences with those vehicles. Then, in the Spend My Money segment, they help a viewer from Autoblog's Twitch stream pick a used pickup. Autoblog Podcast #602 Get The Podcast iTunes – Subscribe to the Autoblog Podcast in iTunes RSS – Add the Autoblog Podcast feed to your RSS aggregator MP3 – Download the MP3 directly Rundown 2020 Nissan Maxima 2019 Mercedes-Benz Metris Cargo Van 2019 Mazda3 sedan 2020 Nissan Pathfinder Rock Creek Edition Spend My Money Feedback Email – Podcast@Autoblog.com Review the show on iTunes Related Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.

Mazda Slovakia brochure reveals Skyactiv-X Euro power numbers

After driving a prototype of Mazda's Skyactiv-X engine in a Mazda3 in January last year, we wrote, "If you want to talk numbers, they're understandably fuzzy. The Skyactiv-X tune isn't final yet, so horsepower and torque figures are a moving target." They're no longer fuzzy in Slovakia, where a brochure for the new Mazda3 sells final figures as 181 metric horsepower and 222 Newton-meters, or 178 horsepower and 164 pound-feet. We don't know the Slovakian engine's displacement. If that Skyactiv-X is a 2.0-liter, it compares to our 2.0-liter Skyactive-G in the Mazda3 that makes 155 hp and 150 lb-ft, or the tuned Skyactiv-G in the 2019 Miata that makes 181 hp and 151 lb-ft. According to the spec sheet on the Slovakian Mazda site, their 2.0-liter Skyactiv-G in the CX-3 makes 148 hp and 152 lb-ft, and in their Mazda6 makes 162 hp and 155 lb-ft. According to the brochure, those numbers will rise to 164 hp and 157 lb-ft in the coming Mazda3. The Skyactiv-X numbers are in sight of what reps at Mazda in California gave us for output during our drive, which was closer to 190 hp and 180 lb-ft. Mazda said at the L.A. Auto Show last year that the Skyactiv-X would launch in markets with stricter emissions regulations first, so a small European market with tighter controls doesn't define what we get. Given our less restrictive environment, tuning for more power shouldn't be a moon shot. Doing so would put the Skyactiv-X in with the optional 2.5-liter four-cylinder in the U.S. Mazda3, which makes 184 hp and 185 lb-ft. The real test will be gas mileage; the purpose of the Skyactiv-X is to provide those figures in company with 20 to 30 percent better fuel economy than the Skyactiv-G. Autoweek characterized Mazda CEO Akira Marumoto's comments on the engine as, "The Skyactiv-X variant will be positioned as the higher grade. It will have the driving dynamics of the 2.5-liter gasoline setup but the fuel economy of a 1.5-liter diesel." We have questions about this strategy, but we'll have to see how the pricing works out. Since the 2.5-liter serves as the base engine on the 2019 Mazda3, buyers can expect a meaningful premium to get into a Skyactiv-X. Right now, there's a $1,495 surcharge to go from the current 2.0-liter Mazda3 hatch to the 2.5-liter.