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Toyota and Mazda in talks to build joint US auto plant

UPDATE: The Toyota-Mazda deal has been announced. A newer version of this story appears here. Toyota Motor Corp and rival Mazda Motor Corp are expected to announce plans on Friday to launch a joint venture and build a new U.S. assembly plant, a person briefed on the matter said. A new auto plant would be a major boost to U.S. President Donald Trump, who campaigned on promises to boost manufacturing and expand employment for American autoworkers. Japan's Nikkei reported on Thursday that Toyota would take a roughly five-percent stake in Mazda Motor Corp to develop key electric vehicle technologies and jointly build a factory in the United States. The deal could be announced as soon as Friday, the newspaper said. The person briefed on the matter, who was not authorized to speak to the media and requested anonymity, confirmed the Japanese carmakers were planning to build a large plant in a yet to be determined U.S. location and planned future joint efforts on electric vehicles. The same source declined to offer further details, however. Toyota, in a statement, said the two companies have been exploring various areas of collaboration under a May 2015 agreement. "We intend to submit a proposal to our board of directors today regarding the partnership with Mazda, however, we would like to refrain from providing further comment at this time," Toyota said in a statement issued by its U.S. operations. Mazda said in statement that "nothing has been decided yet" and added the company "will have a board meeting on this matter today. We cannot comment any further." Toyota, the world's second-largest automaker by vehicle sales in 2016 and Japan's dominant car company, has been forging alliances with smaller Japanese rivals for several years, effectively consolidating the Japanese auto sector. A new U.S. assembly plant would likely become the prize in a fierce competition among Midwestern and Southern states eager to expand manufacturing jobs. Trump in January criticized Toyota for importing cars to the United States from Mexico. The Republican president also threatened to impose a hefty fee on Toyota if it were to build its Corolla cars for the U.S. market at a plant in Mexico. "Toyota Motor said will build a new plant in Baja, Mexico, to build Corolla cars for U.S. NO WAY! Build plant in U.S. or pay big border tax," Trump said in a post on Twitter. But since January, Trump has praised Toyota for its U.S. investments.

50 engineers kept the rotary alive at Mazda for 8 years

The Mazda RX-Vision concept is one of the standouts at this year's Tokyo Motor Show thanks to a drop-dead gorgeous design and a revival of the Wankel engine. The fact that the rotary is still in development at Mazda is thanks to a dedicated group of 50 engineers. According to Automotive News, their dream for the last eight years has been to bring this storied engine design back to the street. It won't be easy. Because of its design, the rotary suffers from poor fuel economy and high emissions. Making the challenge even harder, Mazda reportedly only gives them a small budget, but they continue to chip away at the problem. "These 50 engineers want to develop the rotary engine, therefore they joined Mazda," company research and development boss Kiyoshi Fujiwara told AN. "If I stop the rotary engine, probably they want to leave." For the Skyactiv-R under the RX-Vision's svelte hood, the team reportedly started from the 16X rotary project. Dating back to 2007, that 1.6-liter engine was supposed to improve torque and fuel economy thanks in part to direct injection. After additional development, insiders even suggested that the engineers might have finally solved the powerplant's issues. However, Mazda never put the mill into production, and the RX-8 remains the company's last Wankel-powered model to be offered in showrooms. "We have a dream that one day, this design with a rotary engine will achieve a level that customers will accept," CEO Masamichi Kogai said to AN. Mazda is quite clear that the RX-Vision might never go on sale without a suitable rotary. Although if it does see production, the coupe would likely use a stiffened version of the Miata's chassis, AN reports. Before anyone can place an order, these 50 determined engineers still have a lot of work ahead of them. Related Video:

Mazda concept probably previews the next Mazda3 at the Tokyo show

This year's Tokyo Motor Show is shaping up to be an interesting one, with a Nismo Leaf, Mitsubishi e-Evolution concept, and a pair of interesting Toyota concepts already lined up. Now Mazda is joining with its own big reveal of two concepts. One is a design concept that will give us an idea of where the company is heading, and another is all but guaranteed to be our first look at the new Mazda3. There are a few reasons we say that one of these concepts has to be the next Mazda3. One is the fact that Mazda says it's a concept planned for production. The company also describes it as "a compact hatchback that fuses next-generation technology and design," and it uses the new Skyactiv-X spark-controlled compression ignition engine and "Skyactiv-Vehicle Architecture." Plus, just looking at the teasers, the design is a clear evolution of the current Mazda3 hatchback. It looks as though the hood and roofline curve a bit more, and some of the sharp creases of the current car have been smoothed out. The other concept Mazda is bringing to the Tokyo Motor Show seems to be just that, a concept. Mazda says it's just a design concept meant to exhibit how other Mazdas will look. Apparently it's a continuation of the company's current "Kodo" design language. Based on the teaser image, the car appears to be a sedan and consists mainly of clean, elegant curves, with hardly a crease anywhere except the edge of the trunk. The elegant lines are reminiscent of the RX-Vision concept, just with a couple extra doors and a different color. Mazda will have a couple of other new vehicles on display in Tokyo as well. The company will show the Japan-only CX-8 three-row crossover and a special-edition Roadster (Miata) Red Top edition. We presume it's a Miata with a red soft top. Stay tuned for more details from the full reveal. Related Video: