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Japan could consolidate to three automakers by 2020

Sergio 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:

Spiders Force Suzuki To Recall Midsize Cars

Spiders have forced Suzuki to recall more than 19,000 midsize cars. The automaker says spider webs can clog a fuel vapor vent hose in some 2010 to 2013 Kizashi cars, cutting off air flow. If that happens, it can cause the gas tank to deform, causing cracks, fuel leaks and possible fires. The recall was prompted by seven reports of the problem. Service centers will replace the vent line with one that has a filter on the end. They'll also replace gas tanks if necessary. The problem hasn't caused any accidents or injuries in the U.S., Suzuki said in documents posted Wednesday by the National Highway Traffic Safety Administration. Owners will be notified this month. Those with questions can call Suzuki customer service at (800) 934-0934. American Suzuki Motor Corp. filed for Chapter 11 bankruptcy protection in November of 2012 and stopped selling automobiles in the U.S. The recall is the second caused by spiders this year. In April Mazda recalled 42,000 Mazda6 midsize cars in the U.S. with 2.5-liter engines for a similar problem. The recalled cars were from the 2010 through 2012 model years. Recalls Suzuki Safety spider

Suzuki previews Crosshiker, X-Lander, Hustler ahead of Tokyo

With the Tokyo Motor Show looming on the horizon, Suzuki has revealed a trio of concept cars it will present at the expo.
First up is the Crosshiker concept, a compact crossover that looks good enough in metallic red, but in its essence reminds us of the oft-maligned X-90 convertible crossover coupe. Based on the G70/Regina concept, the Crosshiker packs a 1.0-liter three-cylinder engine into a compact form that weighs just 1,785 pounds.
Next comes the X-Lander, which strikes us as a smaller take on the formula espoused by the Isuzu VX-02 or Land Rover DC100 Sport concepts. Unfortunately based on the Jimny, the white X-Lander incorporates a 1.3-liter engine with a robotized manual and four-wheel drive into a high-riding, chopped-windshield convertible sport-ute form.