TOKYO AP A wave of consolidation will continue to sweep the global auto industry leading to mergers between rival U.S. and Japanese carmakers a top executive of Ford Motor Co. said Tuesday. The most likely prospects for tie-ups or takeovers are Japan's smaller automakers who lack the money and know-how to compete in world markets Ford Motor vice-chairman Wayne Booker said at a luncheon speech in Tokyo. ``Even though small Japanese automakers are tied with very rich companies in some cases I don't believe they will be able to sustain the financial and human resources needed to meet the 21st century'' challenges he said. ``Time will come when it will become a matter of necessity'' for automakers on both sides of the Pacific to forge alliances he said. While in the past Japanese companies have shunned foreign suitors Booker said mergers limited to domestic auto companies would fail to provide the global reach needed to survive. As a result cross-border mergers between Japan U.S. and European carmakers will become more commonplace. But Booker added that his company has no plans to ``accomplish any major mergers in the Asia-Pacific.'' Ford already has a 33 percent stake in Hiroshima-based Mazda Motor Corp. and has taken effective control of the company by installing one of its own executives as president. Booker conceded that the performance of Ford-brand cars in the Japanese market has been less than spectacular despite heavy investment including a chain of dealerships. ``We are not challenging Toyota'' he said. ``Toyota has 40 percent of the market; if we have a few percentage points that is enough.'' Booker said Ford is focusing more on China Thailand and India and has set a target of 10 percent of Asian market share by 2007 from its present 1 percent. UR; dj-mef APW19981201.1360.txt.body.html APW19981201.1215.txt.body.html