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How tariffs in China could cause a meltdown in the American South

While BMW is clearly a German company, the crossovers that are exceedingly important to it are actually made in Spartanburg, South Carolina. And more than that, the Spartanburg plant (physically located in the town of Greer) is where the corporate know-how and capability for those vehicles is concentrated. These are the vehicles – specifically, the BMW X3, X4, X5, X6, X7 – that drove record growth for the company in 2018, according to BMW. But whatÂ’s most notable about BMW Group Plant Spartanburg, given current events, is that according to the U.S. Department of Commerce it was the largest automotive exporter by value for the fifth year running in 2018. ThatÂ’s worth emphasizing: largest automotive exporter by value. Not GM. Not Ford. BMW. And where might one assume that more than a few of those X vehicles are shipped to? China. Some 360 miles southwest of Spartanburg is Mercedes-Benz U.S. International, Inc., in in Tuscaloosa County, Alabama. It started building vehicles in 1997. Since then, Daimler AG has invested in excess of $5.5 billion in the facility. It manufactures the crossover now known as the GLE, formerly the ML-Class. It also makes the GLE coupe and GLS. Daimler describes the Tuscaloosa facility as “the traditional home of SUV production” for those vehicles. When it reported its global 2018 sales, Daimler noted that on a global basis SUVs account “for more than a third of all Mercedes-Benz sales.” According to the Chinese finance ministry, on December 15th the Chinese government will impose a 25% tariff on automobiles (and a 5% tariff on auto parts) from the U.S. Certainly this is going to have a direct effect on the sales of vehicles that are manufactured in the U.S. and exported to China. BMW and Mercedes are going to take it on the chin for the vehicles that they make in plants that they invested in so heavily in the U.S. Which could potentially mean that people in places like Greer, South Carolina, and Vance, Alabama, are going to find themselves in the crosshairs of the combatants. Soo too could Lincoln, which produces vehicles in places like Louisville, Kentucky (Navigator), Chicago, Illinois (Aviator) and Flat Rock, Michigan (Continental). Although the Tesla Gigafactory 3 is rapidly nearing completion in Shanghai, it is worth noting that vehicles built in Fremont, California, are being sold in China in numbers that donÂ’t make Musk unhappy.

Protonic Red BMW i8 will bow in Geneva

BMW will unveil special edition versions of the i8 at the Geneva Motor Show, but we hope the rest of the company's offerings are more exciting than its first one – the new Protonic Red Edition. BMW bathes this limited edition i8 in the eponymous red and paints some the trim Frozen Grey metallic. The company finishes off the exterior improvements with 20-inch W-spoke wheels that it decorates Orbit Grey metallic with Aluminum matte hubs. The interior upgrades amount to red double-stitching around the cabin and the addition of some carbon fiber and ceramic trim. There are no mechanical changes. It's hard to get too excited about special paint and trim, but if you are in the market for a more colorful i8, then the Protonic Red Edition seems like a good opportunity. Production begins in Leipzig in July. Related Video: Comfortably exceeding expectations: BMW i8 is the world's highest-selling hybrid sports car. Exclusive BMW i8 special editions. Protonic Red Edition gets the ball rolling at the Geneva Motor Show. Munich. Last year, global sales of the BMW i8 exceeded the combined figure of all other hybrid sports cars produced by other manufacturers*; 5,456 units of the i8, which is powered by the combination of a three-cylinder turbocharged engine and an electric drive system, were sold worldwide in 2015. The car's innovative plug-in hybrid technology delivers system output of 266 kW/362 hp (fuel consumption combined: 2.1 l/100 km [134.5 mpg imp]; CO2 emissions combined: 49 g/km)**. "The success of the BMW i8 speaks for itself," said Ian Robertson, BMW AG Board Member for Sales and Marketing. "It is already the world's most successful hybrid sports car and has comfortably exceeded our own expectations. I can think of no better illustration of the relevance of our young BMW i brand." And the BMW i8 is about to add further lustre to its appeal with exclusive special-edition models poised to be unveiled for the first time at the Geneva Motor Show. The new arrivals present customers with even more ways to own a very individual car. BMW i8 Protonic Red Edition will be built in Leipzig from July. The first in this line of special-edition models is the BMW i8 Protonic Red Edition. Like those set to follow in its tyre tracks, it is only available for a limited period.

Hyundai, BMW in plant talks with Mexican officials

BMW and Hyundai may be joining the rush for the border that has already seen Nissan, Honda and Mazda begin factory construction in Mexico, while Ford and General Motors have both made significant investments in their Mexican facilities. BMW's interest in Mexico has been apparent for some time, and while we'd heard grumblings about Hyundai's move into Latin America some time ago, the last we heard about it was in 2009.
This new move, reported by Bloomberg, doesn't get specific on which models will be produced south of the Rio Grande, and as neither automakers' spokespeople responded to the business site's request for statements, all we really have to go on are the statements of Mexico's Economy Minister, Ildefonso Guajardo: "I cannot talk for them, but I think that starting 2014 we'll have new announcements. At least for one." Which manufacturer that will be remains anyone's guess, although judging by all the recent scuttlebutt that's been going around, the smart money seems to be on BMW. We'll stay with this one.