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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.

Mini Cooper SE Convertible wheels made entirely from recycled aluminum

Mini has revealed an interesting fact about its limited-run Mini Cooper SE Convertible: It's the first production car with wheels made from 100% recycled aluminum. Despite sharing the same look as wheels available on the regular SE hatch, they're actually much more environmentally friendly. The wheels were developed with Swiss wheel manufacturer Ronal. The company sells aftermarket wheels under the Ronal and Speedline brands, and it supplies OEMs. And it's no stranger to more environmentally-friendly wheel production. It supplies wheels for the Audi E-Tron GT that are made using a smelting process that produces oxygen rather than carbon dioxide, and it now has a line of claimed carbon-neutral aftermarket wheels. But back to the Mini's wheels. Using all recycled aluminum has the obvious benefit of not requiring new aluminum to be manufactured. But the benefits are greater than just the raw material use. Mini points out that a major improvement in carbon emissions comes from being able to skip the electrolysis process for new aluminum manufacturing. Pure aluminum is extracted from aluminum oxide (which is in turn taken from the mineral bauxite). To do this large amounts of electricity are passed through molten solutions of aluminum oxide and cryolite (which takes energy to heat) across graphite cathodes and annodes. Not only does this use a lot of electricity that has its own carbon costs, the oxygen that separates from the aluminum bonds to the graphite annodes, yielding more carbon dioxide (which is why the production of those Audi wheels is also interesting). In total, Mini says the recycled wheel production reduces carbon emissions by 75%. More specifically, it estimates about 0.16 kilograms (0.35 pounds) per kilogram (2.2 pounds) of aluminum used. Mini also stresses that this process still maintains all the strength of conventional wheels, just in a greener way. And of course, the wheels themselves are recyclable again. Mini, and BMW more broadly, are looking at ways to upscale the process and to source suitable recyclable products, likely other old wheels from cars no longer on the road. Though neither company said anything about when we'll see fully recycled wheels more widely available. Related Video: MINI Electric Pacesetter inside and out

Toyota, Mercedes, BMW top automakers included in List of Best Global Brands

Interbrand, a consultancy firm, has published its 13th annual list of the best global brands. Besides seeing some shakeups at the top - Apple and Google unseated Coca-Cola (a company that has dominated the survey since its birth), the 100-item list features 14 automakers, most of which enjoyed double-digit gains in brand value.
Toyota managed to retain its spot as the study's top automaker. It finished the survey in 10th position overall (the same as last year), despite a 17-percent improvement in its brand value, from $29.33 billion to $35.34 billion. Mercedes-Benz, BMW and Honda all made the top 20, at 11th, 12th and 20th place, respectively. Hopping a ways down the list, we come across Volkswagen in 34th place, up from 39th in last year's study, with a brand value of $11.12 billion, a 20-percent improvement over 2012. Ford and Hyundai round out the automakers in the top 50, at 42 and 43.
Porsche made the largest year-over-year gain of any automaker, with its brand value increasing 26 percent to $6.47 billion. Chevrolet meanwhile, cracks the list for the very first time at 89th place. As Interbrand notes, Chevy's inclusion is notable because of the sheer number of vehicles it moves for General Motors and its recent push in developing markets. The final interesting note on this survey is the position of an automaker that takes its name and logo more seriously than perhaps any other - Ferrari. The Italian exotic manufacturer finished 98th out of 100, with just $4.01 billion in brand value, a six-percent improvement over 2012.