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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.

BMW spotted testing new 5 Series Gran Turismo

As previously reported, BMW is going ahead with a second-generation 5 Series Gran Turismo, no matter how silly the first generation of the sedan-cum-hatchback-cum-wagon may be. These are our first spy photos of that new vehicle, which is still on track for a late 2016 debut. Perhaps the best thing we can say about the next 5GT is that it won't be quite so hunchbacked. The seven images provided by our spy photographer show a car with a profile that's far more svelte than the bulbous entry on offer today. The roofline, in particular, is more aggressively raked at the rear and there's a proper, distinguished rear deck, as well. Part of what makes today's 5 Series GT look so bizarre is the combination of an almost fastback tail with a very tall decklid height. While the updated model still features that high rear – you can actually see where the beltline kicks up at the rear quarter window – the fastback styling has been softened so that it doesn't look quite so bizarre. The new Gran Turismo should also be a much better steer than the 5GT currently on offer. Our spies report that this next-gen model will be significantly lighter, which is something we can always get behind. Engine options will consist of gas, diesel, hybrid, and plug-in hybrid, as is the trend, although specifics aren't quite available yet. Spitballing, though, it's almost a guarantee that the next 5GT will share the 5 Series sedan's engine lineup. Expect a number of carryover engines there – 2.0-liter turbo four, 3.0-liter turbo six, 4.4-liter twin-turbo V8, and 3.0-liter diesel, probably – along with a plug-in hybrid option, although nothing's been confirmed so far. With an official debut slated for late next year, either Paris or Los Angeles seem like a logical debut location.

BMW slapped with discrimination suit by EEOC

According to a report from CNNMoney, BMW has been hit with a lawsuit from the US Equal Employment Opportunity Commission after revised criminal background check policies resulted in the dismissal of 88 contractors, 70 of whom (that's about 80 percent) were black. A total of 645 contractors were required to submit to background checks at BMW's facility in Spartanburg, South Carolina after BMW switched contract companies at its plant.
Though the 88 persons who were not rehired by the new contractor all had criminal records, that may not necessarily be a legal way to screen applicants, as the EEOC counters: "BMW's policy has no time limit with regard to convictions. The policy is a blanket exclusion without any individualized assessment of the nature and gravity of the crimes, the ages of the convictions, or the nature of the claimants' respective positions."
BMW's actions were in violation of the Civic Rights Act of 1964, according to the EEOC, because they utilized "a criminal conviction policy that disproportionately screened out African-Americans." A recent bulletin offering guidance from the EEOC on the Civil Rights Act can be found here, but the EEOC's stance on the issue has been the same for years: "Since issuing its first written policy guidance in the 1980s regarding the use of arrest and conviction records in employment decisions, the EEOC has advised employers that under certain circumstances, their use of that information to deny employment opportunities could be at odds with Title VII."