As vehicles become more and more complex and new technologies come into play, automakers have to put more and more money into research and development and other new investments to keep ahead of the curve.
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Mazda Motor Corporation is no exception, as Nikkei Asian Review reports—the Zoom Zoom brand is shelling out a record amount of capital into investments for the next fiscal year, particularly a great big slice for developing a passenger car with a new hybrid powertrain to offer improved fuel economy. Nikkei also said that this system will first be installed in the Mazda Axela (that’s the Mazda3 to we Americans).
More specifically, though, Mazda’s capital spending for fiscal year 2017 (which ends next March) is planned to jump upward by about a fifth, to be followed by another increase of an additional 30% for fiscal year 2018, for an eventual total of 150-160 billion yen (about $1.3-1.4 billion to us in the states, at time of writing).
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Other areas of investment include heavy investments in plants both in Japan and Mexico, as well as upgrading engine production facilities and revamping vehicle chassis and designs. Beyond that, Nikkei reports that Mazda is working to offer an independently-developed electric vehicle for 2019 and a plug-in hybrid two years later.
Hopefully, though, Mazda’s partnership with Toyota will help reduce its own research and development spending, which by itself is already expected to rise 10% this fiscal year to 140 billion yen.
News Source: Nikkei Asian Review
