This report does not constitute a rating action. TOKYO (S&P Global Ratings) Oct. 28, 2026--We see rising issuance of auto loan ABS as investors seek short-duration securitized instruments amid higher interest rates. Despite a moderate increase since 2021, default rates for rated Japanese auto loan ABS remain low. That's according to a report S&P Global Ratings published today titled,"A Primer On Japanese Auto Loan ABS ."Key findings in the report included: Japanese auto loan asset-backed securities (ABS) issuance is growing as expectations of rising interest rates boost investment demand for securitized instruments with short economic life. Default rates for the underlying auto loan receivables remain low and show resilience to economic stress. Credit risk and commingling risk
