Mazda: Americans Want Cheap Gas Cars

Mazda is late to the electrification party. The MX-30 is far from being the roaring success the Japanese automaker had hoped it would be. It was axed from the United States at the end of the 2023 model year due to poor sales. The range-extending version with a rotary engine is only offered in certain markets, and the US is not on the list. In addition, the EZ-6 electric sedan isn’t coming here either. However, the situation isn’t all that bad.

Why? Because Americans primarily want gas cars. Speaking with Automotive News, Mazda CEO Masahiro Moro said ICE has a long future in America. Even at the end of the decade, traditional gas cars and mild-hybrid models will make up about two-thirds of annual sales. Plug-in hybrids and EVs will represent the remaining third. In other words, most vehicles will still have a gas engine five years from now.

“Customers are looking for affordable solutions rather than electrified solutions. They are looking for better value. They are still looking for a reliable internal combustion engine. But we will be capable of making everything some version of electrified, including mild hybrid. Looking at US customers, they are looking for better, reliable engines.”

Mazda’s head honcho primarily referred to entry-level models, specifically the 3 and CX-30. Moro believes EV growth in the US has slowed down in the last 18 months or so, adding the trend will likely continue in the foreseeable future. That buys the company more time to develop a lithium-ion battery entirely in-house. The goal is to have it ready for 2030 in plug-in hybrids and purely electric cars. Expect a much higher energy density and “very short” charging times. Interestingly, the engineers already have a “very advanced research base for solid-state batteries.”

In the meantime, work is underway on a two-rotor gas engine that will serve as a generator. It will be more potent than the single-rotor setup used by the MX-30 e-Skyactiv R-EV, which we mentioned earlier. In addition, Mazda is engineering a completely new gas engine, dubbed Skyactiv-Z. It will be used in production cars starting in 2027 when it will gradually replace the Skyactiv-G and Skyactiv-X powertrains.

Moro claims it will be the “ultimate” engine, adding it’ll pass emissions regulations even in the next decade. The CEO suggests Skyactiv-Z will be naturally aspirated and yet won’t lose power to meet stricter legislation. As a refresher, Mazda held a joint conference with Toyota and Subaru earlier this year, promising a long-term commitment to gas engines and investments in carbon-neutral fuels.

Globally, the Zoom-Zoom company estimates its electric vehicles will account for only 25-40% of total shipments by the decade’s end. A full-scale launch of EVs won’t start earlier than 2028, but some zero-emission models are coming sooner. Made in China, the EZ-6 rear-wheel-drive sedan is likely coming to Europe as early as next year.

Meanwhile, Mazda is doing great in North America where it’s on track to deliver 600,000 vehicles by year’s end. 2024 is shaping up to be the best year ever in the US, with as many as 420,000 cars sold, ideally rising to 450,000 cars in 2025, according to Moro.