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Toyota, Mazda partner to build EVs at new $1.6 billion U.S. plant

TOKYO — Toyota and Mazda plan to build a $1.6 billion U.S. assembly plant, the two said on Friday, as part of an alliance that will also see the Japanese automakers jointly develop electric vehicle technologies. The two will take small stakes in each other as part of the tie-up: Toyota, the world's second-largest automaker by vehicle sales last year, will take a 5 percent share of Mazda, extending its dominance in Japan's auto sector. Mazda will take a 0.25 percent share of its larger rival. The plant, something of a surprise at a time of overcapacity in the U.S. market, will be a boost to U.S. President Donald Trump, who campaigned on promises to increase manufacturing and expand employment for American autoworkers. The plant will be capable of producing 300,000 vehicles a year, with production divided between the two automakers, and employ about 4,000 people. It will start operating in 2021. The electric vehicles cooperation, meanwhile, comes as the tightening of global emissions regulations prompts more automakers to develop battery powered cars, as the industry struggles with hefty research costs and intense competition from technology companies over technology like self-driving cars. As part of the agreement, Toyota and Mazda will also work together to develop in-car information technologies and automated driving functions. Toyota, Japan's biggest auto company, has been forging alliances with smaller Japanese rivals for several years, effectively engineering a loose consolidation of the Japanese auto sector. It already owns a 16.5 percent stake in Subaru, Japan's No. 6 automaker, with which it also has a development partnership. Toyota is also courting compact car maker Suzuki to cooperate on R&D and parts supply as Toyota seeks to tap its smaller rival's expertise in emerging Asian markets. A stake in Mazda may also prevent future incursions by tech companies, one analyst said. "For a technology company which lacks the expertise in making cars, Mazda could look like a very interesting acquisition. They're very good, they're not too expensive. Maybe Toyota realizes this," CLSA managing director Chris Richter said. "By buying a 5 percent stake, Toyota takes Mazda off the table rather than having it sit out there like a free agent which could someday be used against them." COROLLA PRODUCTION SHIFT Mazda stands to gain from a deal that gives the small automaker a production foothold in the United States.

Next-gen Mazda MX-5 could use carbon fiber to cut weight

The current Mazda MX-5 Miata has only been out for a few years, but the automaker is allegedly looking for ways to lighten the next one. According to a report from Autocar, Mazda is looking to carbon fiber to help the next-generation MX-5 cut weight and use a smaller engine. Despite having more safety features, modern amenities, and a stiffer body, the current MX-5 is the same size as the original sports car from 1990 and weighs less than its immediate predecessor. In a recent interview with Autocar, Nobuhiro Yamamoto, head of the Miata program, revealed that the next generation of the Miata will probably stay the same size, but could be even lighter thanks to the utilization of carbon fiber. The current MX-5 uses high-strength steel and aluminum, and Mazda doesn't use carbon fiber in any of its cars. Carbon fiber is expensive to incorporate into road-going vehicles, and so Yamamoto notes that Mazda has been hard at work making it more affordable. A lighter car could result in a smaller engine, Yamamoto said. In the US, the MX-5 comes with a 2.0-liter four-cylinder engine that makes 155 horsepower, while the Japanese and European version comes with a 1.5-liter, 130-hp engine. A smaller engine would make the sports car even lighter. It's unknown at this time if the automaker is collaborating with another automaker or a supplier to make produce carbon fiber, or if it'll make it in-house. There's no word on how much carbon fiber the next MX-5 will wear or how it will affect the sports car's price. Autocar reports that the next MX-5 won't arrive anytime before 2021, which could make the ND MX-5's lifespan an unusually short five years long. With cars getting heavier, it's nice to hear that Mazda is working on finding a way to make its lightweight sports car even lighter. Related Video: News Source: AutocarImage Credit: Mazda Mazda Convertible Coupe Lightweight Vehicles

Mazda de Mexico celebrates 100,000th car built

Automakers and their factories celebrate production milestones all the time. Some are interesting enough to report on and some aren't, but what makes this one stand out is that the plant opened less than a year ago. Just 11 months since production began, Mazda de Mexico Vehicle Operation has put together its 100,000th vehicle – in this case a Mazda2 hatchback headed for Europe. MMVO is one of three plants assembling the company's smallest model, also known as the Demio in Japan, where it is also produced, with additional assembly taking place in Thailand under a joint venture with Ford. The Mexican location also handles assembly of the Mazda3 for the Americas and for Europe. Mazda has announced that it is expanding production at MMVO by 150 percent of this year's capacity to 250,000 units per year by March 2016 as it takes on contract manufacturing for Toyota as well.