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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.

BMW X4 reclaims dash of utility with Clemson student project [w/videos]

BMW seems willing to exploit every automotive niche it can find with creations like the four-door, 'crossover coupe' X4 and X6. Of course, these designs come with a compromise. That svelte fastback means that they just can't haul as much cargo as a more traditional, boxier hatchback. Fortunately, students at Clemson University's International Center for Automotive Research might have a novel solution: the engineering graduate program has turned the crossover into a unique pickup.
Dubbed Deep Orange 4 concept, this functional prototype has an enclosed cargo area with a sliding glass panel that opens up to expose a pickup bed if more room is needed. Think of it as the GMC Envoy XUV of German crossovers. This isn't just an X4 with its roof hacked off, though. The students actually started with an X3 and grafted on this top later in addition to the two barn doors for access to the bed.
To make this project even more impressive, this pickup-crossover could conceivably be produced. The graduate students conducted an in-plant analysis of BMW's manufacturing abilities and went back to the university to create a plan for a low-volume vehicle that could actually be built. "The students working on this phase of the project did an excellent job of keeping costs down while finding optimal integration opportunities," said Rich Morris, vice president of assembly at BMW Manufacturing, in the university's release.

Ex-Rolls-Royce design chief Ian Cameron killed at home

Former Rolls-Royce design chief Ian Cameron, the man who oversaw the automaker's design renaissance with the Phantom and Ghost ranges, was stabbed to death at his home in Bavaria (translated) on July 12. German newspaper reports have identified a suspect via surveillance camera (translated) whom police say is the killer. Apparently, the man went shopping at a store less than a mile from Cameron's house, then changed clothes and showed up at Cameron's door. A surveillance image before the suspect gets to the house shows him wearing the items that neighbors described, notably light pants, a dark blue hoodie, a red backpack and "yellow-green gloves." Someone reportedly cut the wires on the home security system, the suggestion being that the suspect or someone else involved had cased the house for at least a few days. It's said the killer rang the doorbell, attacking as soon as Cameron opened the front door, stabbing the designer to death. Verena Kloos, Cameron's wife, escaped to a neighbor's house and called police. This is a bizarre incident. Reports have floated the motivation that the killer wanted one of the vehicles in Cameron's car collection at the Bavarian property. Instead of going after a car, though, the killer ran off in his distinctive outfit, staying in the open long enough for neighbors to give a detailed description. He then changed clothes and ditched the backpack on a lakeside promenade not far from Cameron's house. Strangest of all, the man apparently left the clothes near the backpack, and the backpack contained items the man had bought during his shopping trip before the murder.  At the time of writing, police are searching throughout Germany but haven't caught the suspect. With a clear picture and a likely trove of DNA evidence, authorities have excellent leads. Anyone who can help is asked to get in touch with the Furstenfeldbruck Criminal Investigation Department at (+49) 8.14.16.120. Cameron's career started at Pininfarina in 1975, culminating in a greatest hits of designs while at BMW. He has exterior design of the third-generation Range Rover on his resume, as well as the BMW Z8. It was Cameron's Phantom, though, that helped create an entirely new Rolls-Royce after BMW bought the brand. CEO Chris Brownridge wrote on LinkedIn that "Ian played a significant role in shaping Rolls-Royce from when it was first acquired by BMW Group and moved to its home at Goodwood, West Sussex.