China, Japan join forces in fight against Musk

China and Japan have made the earth-shattering decision to unite in a bid to bring about the downfall of Elon Musk.

Mazda’s global chief has acknowledged the Japanese automaker can no longer ignore the rapid rise of Chinese automotive giants, conceding its survival may depend on working alongside Chinese brands, rather than competing with them.

Speaking at the Japan Mobility show in Tokyo, Mazda chief executive officer and President Masahiro Moro said China’s automotive growth is “incredible”.

“The journey is incredible,” Mr Moro said. 

“It’s not just us …[Mazda] probably didn’t expect that speed from Chinese brands, to begin exporting at that speed.”

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Mazda CEO Masahiro Moro (right) says the brand can learn from the success of Chinese rivals. Picture: Bryan Thomas/Getty Images/AFP

China exported 2320 cars to Australia in 2015.

Five years later, that number grew to 13,412 in 2020.

It is on track to exceed 200,000 this year.

Mazda’s other upstart competitor is Elon Musk’s Tesla, whose Model Y is the fifth best selling car in Australia this year - and by far the best selling EV.

While Mazda contends that new brands can’t match its history and proven track record, the company’s top leader acknowledged that the success of Chinese brands was due to customers choosing brands like MG, BYD and GWM – not Mazda, Honda, or Toyota.

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Mazda unveiled the Vision X-Coupe at the Japan Mobility Show.

“In the shift to electrification and smart technology in China, certainly they have an advantage,” he said.

It’s why Mazda is working with Chinese giant Changan Automobile in a joint venture for its next electric car.

JAPAN’S MAZDA PARTNERS WITH CHINA

Moro said Mazda and its Chinese partners are already jointly developing advanced software and electronic systems that will underpin both brand’s next-generation vehicles.

“The reason that we (work) together is that those vehicles have maturity in Chinese markets now, and it’s going to keep increasing,” he said.

“We have the partnership with Changan Automobile for more than 20 years.”

Asked whether Mazda’s strategy amounted to “if you can’t beat them, join them,” Moro didn’t dismiss the idea. 

Instead, through his interpreter, he stressed that Mazda would continue to expand in China by working with local partners rather than competing.

And that Mazda would be sure to maintain its identity even when working with other companies.

Moro insisted Mazda would not abandon its “Japanese DNA”.

“The area we can never compromise is design, craftsmanship and driving dynamics. Those are the areas that we really place importance on,” he said.

Elon Musk’s Tesla Model Y is the world’s leading EV. Picture: Getty

“When you drive a Mazda, you feel that connection, it’s something unique that no one can imitate.”

Mazda dropped its petrol-powered Mazda6 sedan due to declining sales.

The all-electric, Chinese-built 6e will fill that gap in the line-up.

Crucially, Mazda Australia boss Vinesh Bhindi says it will have a starting price below $55,000, while offering up to 190kW of performance and 500km of driving range.

This is only Mazda Australia’s second electric offering, following the unsuccessful launch of the compact MX-30 SUV, a car which Mr Bhindi himself admitted was always going to be a low-selling proposition.

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Mazda unveiled the Vision X-Compact at the Japan Mobility Show.

But what it has done is laid the foundations for the 6e to be a success by getting the brand’s sales teams and mechanics ready to deal with battery-powered vehicles.

“So when this opportunity came about, and it’s been in the making for a little while now, it makes perfect sense. And in particular when a few weeks or probably a month ago, the government keeps saying that we have to commit to an ambitious CO2 reduction target,” he said.

“The auto sector, the transport sector will be needing to carry a big slice of that burden, because where else is gonna come from? It’s gonna be, you know, mining and industry. Which means I expect the government will continue to roll out strategies and tactics and policies that continue the encouragement and shift towards these technologies.”

– with Stephen Ottley