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U.S. issues new tariff threat, this time against British-built cars

WASHINGTON — Britain is the United States' closest ally but their long friendship may be sorely tested as the two countries try to forge a new trade agreement after Britain's exit from the European Union. U.S. Treasury Secretary Steven Mnuchin said on Saturday in London that he was optimistic that a bilateral deal with Britain could be reached as soon as this year. But Mnuchin gave up no ground after a second meeting with his UK counterpart, Sajid Javid. Javid has insisted that Britain will proceed with a unilateral digital services tax, despite a U.S. threat to levy retaliatory tariffs on British-made autos. Mnuchin told reporters after Saturday's meeting that such taxes would discriminate against big U.S. tech companies like Alphabet Inc's Google, Apple, Facebook and Amazon. The UK Treasury declined to comment on the private meeting. The divide highlights the challenges ahead as the Trump administration seeks a new bilateral agreement with Britain, part of a broader push to rebalance relations with nearly all its major trading partners. The stakes are high — British Prime Minister Boris Johnson has pegged the trade deal with United States as a way to ease the pain of breaking with Europe, Britain's largest trade partner. U.S. President Donald Trump, has promised a "massive" trade deal to support Brexit, the product of a populist movement similar to his "America First" agenda. The goodwill and special relationship the two countries have enjoyed for decades may not count for much, experts say. "Trump is not going to be doing Johnson any favors," said Amanda Sloat, a senior fellow with the Brookings Institution in Washington. "He's not going to give him a trade deal without major concessions." Even before the digital tax issue arose, the Trump administration threatened to tax foreign car imports, which could hit British-made Jaguar, Land Rover, Mini, and Honda Civic hatchback cars. Stiff U.S. trade demands include increased access for U.S. farm goods, concessions that will be difficult for Britain's entrenched natural food culture to swallow. The United States also wants Britain to change the way its National Health Service prices drugs and allow in more U.S. pharmaceuticals, which could prove politically unpopular for Johnson's government. Washington's demand that London block Chinese telecoms equipment maker Huawei Technologies Co Ltd for national security reasons could also cloud talks.

Bentley Bentayga plug-in hybrid spied using V6 power

Bentley confirmed plans for a plug-in hybrid version of the Bentayga in early 2015 and said the electric SUV would be ready for 2017. It seems that the luxury automaker will keep its word, because one of our spy photographers spotted this nearly undisguised model out testing. It looks identical to the normal Bentayga, with the exception of an additional little flap on the left side for a plug. Although Bentley confirmed the hybrid's development way back in 2015, it left out a few details about what the powertrain would be, only saying it would either be a V8 or a V6. Our spy photographer was able to shed some light on this by looking up the prototype's registration. Apparently it has a 3.0-liter engine under its proud hood, so it's a reasonable bet the Bentayga has a V6. Since Bentley promised the hybrid would be ready for 2017, and because this car is hiding almost nothing, we would expect to see the car make a full debut by the end of the year. It should have an electric range of just over 30 miles. Related Video: Featured Gallery Bentley Bentayga plug-in hybrid spy shots View 12 Photos Image Credit: CarPix Green Spy Photos Bentley Crossover SUV Hybrid Luxury bentley bentayga

Bentley CEO says Mulsanne Convertible isn't going to happen [w/poll]

Bentley and Rolls-Royce may be as direct as competitors get, but that doesn't mean they go head-to-head on every model. Bentley is arguably more focused on its Continental line, with the pricier Mulsanne branching off of it. Rolls-Royce, meanwhile, only recently expanded (relatively) down-market with the Wraith and the Ghost on which it's based. For Rolls, it's long been about the Phantom and its coupe and convertible variants. And Bentley doesn't pose much of a challenge in that stratospheric segment.
Crewe discontinued the old Arnage-based Brooklands coupe and Azure convertible in 2009 and 2011, respectively, and hasn't rolled out a successor for either in the few years since. The high-end British automaker revealed a conceptual convertible based on the Mulsanne at Pebble Beach Concours last year and was said to be moving ahead with production plans, but the latest intel suggests that Bentley has taken it off the development table.
This according to Car and Driver, which spoke with Bentley's new chief exec Wolfgang Schreiber at the Frankfurt Motor Show. According to Schreiber, there just isn't enough demand worldwide to justify the development costs - even if it is based on the existing flagship sedan. Apparently Bentley has evaluated that beyond the US and Europe, they couldn't sell enough of them in other markets to make it worthwhile. We'd imagine some Middle-Eastern sheikhs might like to get their hands on a few, but apparently the higher priority is getting the Falcon sport-ute out the door.