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Audi S3 pitted against BMW M135i in track battle

Audi and BMW have long been enemies on both the road and the track, with their respective M and S/RS lines duking it out to the delight of auto enthusiasts everywhere. In this video from Evo, two of the rivalry's newest combatants take to the track - the Audi S3 and the BMW M135i.
The new Audi S3, which is finally coming to America, throws down with a 2.0-liter, turbocharged four-cylinder. 290 horsepower and 280 pound-feet of torque are deployed to a Quattro all-wheel-drive system via a six-speed, S-Tronic dual-clutch transmission, allowing the five-door Audi to scamper to 60 in under five seconds.
The BMW, which Americans will know as a long-roof version of the new M235i Coupe, comes to the track with 320 ponies and 331 lb-ft of torque. That's a good bit more than the Audi, but the M135i has only two wheels to send its power to, an eight-speed single-clutch automatic (a six-speed manual is available) and a slightly higher curb weight.

China probing German automakers over spare parts

The Chinese market has proven to be a boon to German luxury automakers. However, the way that the companies have allegedly been controlling their supply of spare parts has begun to draw the ire of the nation's government. According to insiders speaking to Bloomberg, officials from the country's economic planning organization have opened a probe into Audi, BMW, Mercedes-Benz and some Japanese carmakers over claimed price inflation and limiting supply.
Specifically, the investigation centers around two aspects of how the companies do business, according to Bloomberg. Investigators want to know whether the original equipment component makers are able to sell spare parts only to automaker-authorized dealers or if they are also available to independent shops. There is also the issue of whether the price markup on replacement pieces is too high. The tight controls could be partially explained by China's reputation for producing counterfeit parts.
Evidently, the investigators haven't checked parts prices at car dealers elsewhere in the world. At least in the US, paying more at the dealer for factory components just goes along with owning a vehicle. If evidence of price fixing is found, the companies could face fines the equivalent of millions of dollars, according to Bloomberg.

Audi testing all-new, third-gen TT prototype

It's no big surprise that Audi is working on a new TT. It's been rumored for a while now, and the current model has been on the market since 2006, making it seven years old. But after seeing only some test mules wearing the existing model's sheetmetal, this is the first glimpse we've gotten at what Audi has in store for it's third-gen TT.
Not that we can see all that much with all the camouflage, mind you, but that's still more than we've seen until now. Spied on public roads being benchmarked against the Mercedes-Benz SLK and BMW Z4, the upcoming new TT is still unmistakably a TT, but looks poised to adopt more contemporary styling in keeping with Audi's latest design language, including a larger grille aperture and more squared-off headlights.
The whole thing looks a bit more like a mini-R8, which would make sense if Audi has called off plans for an R4 sports car to slot into the lineup as well. Last we heard, the new TT would arrive late in 2014, when you can bet we'll read all about slightly more powerful but significantly more frugal engines and a raft of new technologies.