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U.S. tariff threat hits European automakers' stocks

FRANKFURT, Germany — A U.S. warning that it may introduce tariffs on foreign auto imports hit shares in German carmakers BMW, Daimler and Volkswagen on Thursday, which together have a more than 90 percent share of North America's premium car market. Washington said on Wednesday it had launched an investigation into whether car and truck imports are a national security issue due to signs they had damaged the U.S. auto industry. That could lead to new U.S. tariffs — up to 25 percent — similar to those imposed on imported steel and aluminum in March. BMW and Daimler shares fell as much as 3.1 percent in early Thursday trading, while Volkswagen's dropped as much as 2.5 percent. "(U.S. President) Donald Trump is obviously not thinking about how to prevent a trade war. Import duties on cars would be a nightmare for the German auto industry and would lead to a massive sales impact," said Thomas Altmann at Frankfurt-based asset manager QC Partners. BMW on Thursday condemned the move to consider tariffs. "The BMW Group is committed to free trade worldwide. Barrier-free access to markets is therefore a key factor not only for our business model, but also for growth welfare and employment throughout the global economy," it said. Daimler, which makes Mercedes-Benz cars, and Volkswagen, which makes upmarket Audis and Porsches, were not immediately available for comment. German carmakers produced 804,000 cars at local factories in the United States and exported 657,000 German-made cars into North America last year, according to German auto industry association VDA. China took pains on Thursday to welcome German firms and investments, with Premier Li Keqiang talking up relations after a meeting with German Chancellor Angela Merkel. BMW and Mercedes have expanded production capacity in the United States, but BMW, Audi, Volkswagen and Daimler have also invested billions to build new factories in Mexico in the hope of selling locally produced cars into the United States. German carmakers hiked vehicle production in Mexico by 46 percent to 620,000 cars last year, while production levels inside the United States fell by 6 percent to 804,000 cars because of a shift to Mexico, according to the VDA. BMW has its biggest factory worldwide in Spartanburg, South Carolina, and is the largest vehicle exporter among all the carmakers in the United States measured by value of goods exported. More than 70 percent of BMW's U.S.-made cars are exported.

Audi's new 1,000-hp hybrid pulls like a freight train

Audi's latest plug-in hybrid handles like it's on rails, and pulls like a freight train. That's because it's a train, and literally rides on rails. The vehicle in question is a locomotive which the German automaker developed for its main factory in Ingolstadt incorporates over 11 miles of railroad tracks, along which are transported parts and completed vehicles to be moved around the site. To carry out those duties, Audi teamed up with French manufacturer Alston to deploy a new hybrid locomotive on premises. The locomotive features a plug-in hybrid propulsion systems capable of running on electric power alone for two hours at a time, and can be plugged in to recharge during down-time. The upshot is that it not only pollutes less overall, but can be run inside warehouses more safely. When the power runs out, the electrical system is backed up by a diesel engine. Audi reports that 15 trains arrive at the factory every day. It employs 17 locomotive drivers on site. And each locomotive runs for 3,800 hours each year. Whether we can take Audi at its word when it comes to diesel emissions or not, the company claims that the new hybrid locomotive cuts its carbon emissions by half, taking 60 tons of CO2 out of the atmosphere each year. 10/30/15 Ingolstadt Hybrid locomotive at Audi plant in Ingolstadt This Audi drives on rails: A 1,000 horsepower plug in hybrid locomotive manufactured by Alstom replaces the plant locomotives previously used at the Audi plant in Ingolstadt as of today. This means that components and finished Audi models will now reach the plant's loading stations in a more climate friendly way. "Our goal is all-round sustainable logistics," stated Johann Schmid, head of the Audi plant railway in Ingolstadt. "The new railway technology allows more economical, energy-efficient and low-emission rail transport. In connection with the latest chassis technology, the plug-in-hybrid locomotive sets new standards in shunting and rail transport." The complete automobile plant in Ingolstadt includes 18 kilometers of railways. Every day, 15 goods trains arrive at Ingolstadt North railway station for Audi – loaded with pressed parts, engines and transmissions, as well as cars from other Audi sites that are ready for delivery to customers. And cars produced in Ingolstadt also start their journey to customers by rail. 17 Audi locomotive drivers work at the plant railway. One of their tasks is to allocate the wagons to the various plant buildings.

Ward's reveals annual 10 Best Engines list for 2013

Ward's Auto has released its annual 10 Best Engines award winners. The 2013 list covers the full width and breadth of the internal combustion spectrum, from a spate of efficient four-cylinders to the most powerful production V8 on the planet. As always, the entries must be available in a production vehicle in the first quarter of 2013 with an MSRP of less than $55,000. The supercharged 3.0-liter V6 from the Audi S5 held on for the fourth consecutive year, and BMW earned two spots on the list with its turbo 2.0-liter four-cylinder and turbo 3.0-liter inline-six.
Ford pulled in two awards for its 2.0-liter EcoBoost four-cylinder and and the supercharged 5.8-liter V8 from the Shelby GT500. Honda matched BMW and Ford with two wins of its own. Wards awarded the 2.4-liter four-cylinder from the Honda Accord Sport as well as the 3.5-liter V6 from the Honda Accord. Chrysler, General Motors and Subaru each garnered a spot on the list as well for the 3.6-liter V6 in the Ram 1500, the turbo 2.0-liter four-cylinder in the Cadillac ATS and the 2.0-liter four-cylinder the Subaru BRZ, respectively. You can read the full press release below for more information.