News On Japan

Japanese automakers face California gasoline regulatory cliff in 2026

Conventional hybrids will not qualify as zero-emission vehicles under new rules

Aug 27 (Nikkei) - Japanese automobile manufacturers face a new challenge of drastically reducing gasoline vehicles sold in California -- and have less than four years to do it.

The state's air regulators on Thursday approved new rules to phase out all gas-burning vehicles sales by 2035. The California Air Resources Board order goes into effect for the 2026 model year, when automakers are required to have 35% of new sales be of zero-emission vehicles.

Since California accounts for 12% of the U.S. auto market, car manufacturers have little choice but to comply with the mandate.

"The specifics are strict, but it's been clear for some time that they plan to eliminate gasoline vehicles by 2035," said an executive at a Japanese automaker. "We're drawing up product plans to accommodate it."

After 2026, California will require automakers to make zero-emission vehicles 68% of new sales for the 2030 model year, then 100% for 2035 models. The types of automobiles that make the grade include electric vehicles, fuel-cell vehicles and plug-in hybrids with all-electric driving ranges of 80 kilometers or more.

When it comes to green vehicles, Toyota Motor and other Japanese peers specialize in conventional hybrids that cannot be plugged to charge batteries. Because California does not recognize conventional hybrids as zero-emission vehicles, new sales of these autos will be banned in California in 2035 as well. ...continue reading

News On Japan
POPULAR NEWS

Prime Minister Sanae Takaichi has quickly become Japan’s newest fashion icon. Since taking office just ten days ago, the 63-year-old leader’s signature style -- defined by her understated black tote bag and soft pink pen -- has sparked a nationwide shopping craze.

Bear attacks are reaching unprecedented levels across Japan, with a record 12 fatalities so far this year as sightings continue daily from mountain towns to city centers, disrupting schools and local institutions.

The Liberal Democratic Party, Nippon Ishin no Kai, and Komeito have reached an agreement on the framework for Japan’s new free high school tuition program, which will begin in fiscal 2026. Under the plan, tuition support for private full-time high schools will be capped at 457,000 yen, while correspondence courses will have an upper limit of 337,000 yen.

Bear sightings have surged across Japan, and in Gifu Prefecture’s Shirakawa Village—home to the UNESCO World Heritage site of Shirakawa-go—local authorities held a nighttime drill on October 28th to prepare for possible emergencies.

The Japan Mobility Show opened on October 29th, marking the start of Japan’s premier automotive exhibition, where foreign manufacturers are stepping up their entry into the country’s growing electric vehicle (EV) market.

MEDIA CHANNELS
         

MORE Business NEWS

In a quiet neighborhood of Osaka stands a four-story building with around 40 rooms. Yet more than 100 companies are registered there, despite the absence of any visible workers.

Two tea buyers from London arrived in Fukuoka on October 28th to explore the unique appeal of Yame tea, one of Japan’s most celebrated green teas. The visit, organized by Fukuoka Prefecture as part of efforts to expand agricultural exports, aimed to introduce the rich aroma and depth of Yame tea to the United Kingdom, a nation long associated with black tea culture.

The Japan Mobility Show opened on October 29th, marking the start of Japan’s premier automotive exhibition, where foreign manufacturers are stepping up their entry into the country’s growing electric vehicle (EV) market.

The Nikkei Stock Average closed at 50,512 yen on October 27th, surpassing the 50,000 mark for the first time in history and setting a new all-time high. The benchmark index rose 1,212 yen from the previous trading day, driven by strong gains across sectors.

McDonald's Japan announced it will phase out the use of paper straws and introduce new lids that allow customers to drink directly from the cup without a straw starting on November 19th.

More homebuyers in Japan are turning to ultra-long housing loans, with some mortgages now stretching as long as 50 years as buyers try to keep monthly payments down in the face of sharply higher construction costs.

A subsidiary of Taiwan Semiconductor Manufacturing Co. (TSMC), a leading chipmaker, signed a location agreement with Kikuyo Town in Kumamoto Prefecture on October 24th for the construction of its second factory in Japan.

As anticipation builds for the Japan Mobility Show 2025, set to open at Tokyo Big Sight from October 30th to November 9th, Toyota Chairman Akio Toyoda has announced a sweeping reorganization of the automaker’s brand strategy. The company will redefine its group structure, including Daihatsu, into five distinct brands, with its flagship luxury car, the Century, becoming a fully independent marque.