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Japan may aid carmakers facing U.S. tariff threat

TOKYO — Japan is considering giving carmakers fiscal support including tax breaks to offset the impact from trade frictions with the United States and a sales-tax hike planned for next year, government sources told Reuters on Wednesday. Going into a second round of trade talks with the United States on Sept. 21, Japan is hoping to avert steep tariffs on its car exports and fend off U.S. demands for a bilateral free trade agreement that could put it under pressure to open politically sensitive markets, like agriculture. "If the trade talks pile pressure on Japan's car exports, we would need to consider measures to support the auto industry," a ruling party official said on condition of anonymity because of sensitivity of the matter. The auto industry accounts for about 20 percent of Japan's overall output and around 60-70 percent of the country's trade surplus with the United States, making it vulnerable to U.S. action against Japanese exports. Japan's biggest automakers and components suppliers fear they could take a significant hit if Washington follows through on proposals to hike tariffs on autos and auto parts to 25 percent. Policymakers also worry that an increase in the sales tax from 8 percent to 10 percent planned for October 2019, could cause a slump in sales of big-ticket items such as cars and home. Prime Minister Shinzo Abe has twice postponed the tax hike after the last increase from 5 percent in 2014 dealt a blow to private consumption, which accounts for about 60 percent of the economy. To prevent a pullback in demand after the tax hike, the government may consider large fiscal spending later when it draws up its budget for next year, government sources said. "One option may be to greatly reduce or abolish the automobile purchase tax," one of the government sources said. The government is also considering cuts in the automobile tax and automobile weight tax to help car buyers, the source added. Reporting by Izumi Nakagawa and Tetsushi KajimotoRelated Video: Image Credit: Getty Government/Legal Isuzu Mazda Mitsubishi Nissan Subaru Suzuki Toyota Trump Trump tariffs trade

Details about next-gen Toyota Prius emerge

The Toyota Prius is undeniably the king of the hybrid market in the United States, with a 39.4 percent market share in 2013. With the next-generation Prius likely to go on sale in 2015, Toyota is trying to build an even more efficient hybrid to keep its control of the market.
Keeping cost down will be one of the major concerns of the new Prius. The next generation will ride on the new, modular Toyota New Global Architecture platform. The lighter underpinnings will improve efficiency and will reduce production costs by allowing for more shared components among vehicles. Toyota will not reveal how many vehicles will use the new platform. But even with the cheaper platform, price will remain a concern. Toyota is still deciding whether all versions of the next Prius will use lithium-ion batteries or whether some models will stick with the heavier nickel-metal hydride batteries to keep cost down.
Of course, the reason most people buy the Prius is because of its great fuel efficiency. Toyota will aim for at least an 8 percent improvement in fuel economy in the next Prius, which would increase it to 58 miles per gallon city and 52 mpg highway.

Recharge Wrap-up: Control Tesla Model S from your wrist, NASCAR's E15 milestone

Tesla Model S owners can now control their car with Android Wear. A new, free app for the Android wrist devices, called Tesla Command, allows the user to control car functions such as the locks, horn, and sunroof from outside the vehicle. The developer promises more features are coming soon. Watch the video below for a demonstration, or head over to 9 to 5 Google to read more. NASCAR drivers have raced 6 million miles on E15 fuel. The stock car series reached the milestone on July 20 at Indianapolis Motor Speedway. NASCAR has been using Sunoco Green E15 gasoline since the start of the 2011 season, which the group credits with increasing horsepower and reducing emissions. The US Department of Energy notably approved the 15-percent corn ethanol blend after 6 million miles of testing. Read more at Domestic Fuel. The Pennsylvania Department of Environmental Protection has decided to continue its incentive program for alternative fuel vehicles. Buyers of electric vehicles and plug-in hybrids with batteries larger than 10 kWh will continue to get a $2,000 rebate (until December 31 or until 500 are sold, whichever comes first). Various EVs with batteries less than 10 kWh, as well as natural gas, propane and hydrogen-powered cars, will get $1,000 back. Electric motorcycles and scooters are offered a $500 rebate. Get more details at ABC 27. Toyota subsidiary Primearth EV Energy is set to expand production of nickel metal hydride batteries for hybrid cars. Due to high demand, production capacity will ramp up from 300,000 to provide batteries for 500,000 vehicles at its Miyagi prefecture plant. The company eventually plans to be able to produce batteries for 1.4 million hybrids per year. Primearth EV Energy currently supplies batteries for the Toyota Prius and Yaris hybrids, as well as Mazda's Axela (AKA Mazda3 in the US) hybrid. Read more at Economic Times. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. Featured Gallery Tesla Model S View 24 Photos News Source: 9 to 5 Google, Domestic Fuel, ABC 27, Economic TimesImage Credit: Copyright 2014 Drew Phillips / AOL Green Plants/Manufacturing Tesla Toyota Ethanol Electric Hybrid Racing Vehicles recharge wrapup e15 android wear