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BMW M2, we're happy to see you

I recently spent some time behind the wheel of the BMW M235i and, well, I didn't love it. Sure, it's a great car, but I just didn't truly bond with it the way I have with previous M cars. What I had hoped for was a proper successor to the 1 Series M Coupe I fell in love with in 2011, but what I got instead was just a sporty 2 Series that didn't exactly stir my emotions in the same way.
But now there's this: the honest-to-goodness BMW M2. Previously, spy photographers captured a development-mule M2, but this is the real thing, in its full prototype body. Notice the aggressive front fascia that mimics the M3/M4, the more more robust wheel/tire package, and the M-standard quad exhaust outlets around back. This thing sure does look the business.
Details are slim as of this writing, but rumors suggest power will come from BMW's now-ubiquitous N55 turbocharged 3.0-liter six, with output somewhere in the 360- to 380-horspower range. The seven-speed M dual-clutch transmission seems like a good fit here, too. As does a six-speed manual transmission (here's hoping).

BMW may keep next 1 Series out of the US

As BMW prepares to introduce the all-new 2 Series coupe and convertible, the 1 Series name definitely won't be going away. We know new sedan and hatchback models are in the works; including the GT shown above. According to Car and Driver, though, the future of the 1 Series nameplate in the US could be dependent on rival premium small cars like the Mercedes-Benz CLA-Class and Audi A3.
In an interview with C/D, BMW's North American head of product planning and strategy, Paul Ferraiolo, said that pricing might be the biggest deterrent to offering the third-gen 1 Series in the US. As he points out, BMW currently prices the 1 not too far from the 3 Series, but Mercedes-Benz and Audi will have their new small cars priced well below the $30,000 mark. BMW's Mini brand will also factor into the consideration since the 1 GT will share its underpinnings with the next-gen Cooper lineup.

BMW confirms new Mexican plant

After over a year of speculation, BMW is finally officially announcing that it's building a factory in Mexico. The new plant will cost the German automaker roughly $1 billion US and will have a capacity of about 150,000 vehicles a year when complete. However, production won't begin there until 2019.
The new factory is being built near the city of San Luis Potosí, Mexico, with plans to employ about 1,500 people. Unfortunately, BMW is still mum about which models it's producing south of the border. Earlier rumors indicated the possibility of the 3 Series, 1 Series and maybe even Mini models there.
BMW says Mexico's multiple free trade agreements are a major factor in the choice of location of the plant. They make it possible for the automaker to ship models more cheaply to North America, parts of South America and the European Union. "The Americas are among the most important growth markets for the BMW Group. We are continuing our strategy of 'production follows the market,'" said Harald Krueger, the board's head of production, in the company's official announcement.