It would be hard to justify not using a screen these days, IMO.
Unless you were concerned about the safety of someone having to look at a screen to operate vehicle controls. Otherwise you could just make it a smartphone app and ditch the screen entirely.
Not every cars are made for Japanese, far from it, but abolition of LCD based map-radio on a standardized slot is a weird hill to die on, so every cars has it anyway.
And, I think, this is where the actual "it's cheaper to..." argument begins: since every cars will have the standard issue map-radio, it _can be cheaper to move buttons into it_. Differences between the standard version and one with this context is whether the cost of the entire 2DIN screen is included in it or not - if the screen cannot be removed, to shut up whining Japanese or not, it becomes sunk cost and becomes a constant term of equation, which physical buttons have no chance of winning.
Being able to separate design decision timelines on how the UI works from manufacturing timelines is also very helpful organizationally.
Then consider how long it takes to wire up and install the LCD versus 20-30 switches (plus mounting brackets, plus functional testing etc.)
Right off the bat all radio controls are free if tossed into the software.