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British automakers take costly precautions as Brexit 'no deal' fears grow

LONDON — Carmakers in Britain have triggered some Brexit contingency plans, such as certifying models in the EU, and are working on redrawing production schedules and stockpiling more parts to defend against any loss of unfettered trade after Brexit. The moves are aimed at ensuring plants, which rely on the just-in-time delivery of tens of thousands of components, can keep operating after Brexit on March 29, but will add costs and bureaucracy which could risk their long-term viability. London and Brussels hope to agree a deal by the end of the year to avoid tariffs and trade barriers, but Prime Minister Theresa May's proposals have been criticized by both Brexiteers, who want a cleaner break from the bloc, and the European Union. McLaren Automotive is looking at having its cars certified by both a British and an EU agency to smooth sales. It is also planning to stockpile critical components and change shipments into the EU around Brexit if there is disruption. "I will sell a little more in January and February and plan to pick the volume up in May and give us a leaner period through the change point," Chief Executive Mike Flewitt told Reuters. BMW, which said last week it would move the annual summer-time shutdown of its British Mini plant next year to April, is looking for lorry parking areas and warehousing on both sides of the channel and is seeking to sign contracts to lease certain locations, a spokesman said. It is also investing in IT systems to handle any new red tape as carmakers estimate tens of thousands of new documents could be needed if tariffs and customs are imposed. The German carmaker's Brexit plans are costing millions of pounds, a source familiar with the matter told Reuters. But Honda, which builds 10 percent of Britain's 1.67 million cars at its Swindon plant in southern England, is not in the market to buy "huge amounts of warehousing space," its Europe boss Ian Howells told Reuters. "It's been a very precise calculation or estimation of what components need to be brought in," he said, adding the firm could also alter its output to sell more into the EU at the start of next year. Waste of money? Many British carmakers have also asked suppliers to look into how they would handle delays at ports, executives told Reuters, as thousands of parts, engines and finished models move between Britain and the continent every day.

F1's Fernando Alonso gets 35-place penalty for latest Honda engine change

MONZA, Italy — McLaren's Fernando Alonso will collect a 35-place grid penalty for Sunday's Italian Grand Prix after Honda announced changes to his car's power unit. The penalty means the double world champion, whose future at McLaren remains uncertain due to the team's continuing engine woes, will start at the back of the 20-car grid for the last European race of the season. His chances were limited anyway at Monza's 'Temple of Speed,' the fastest circuit on the calendar where engine performance is crucial. His Belgian teammate Stoffel Vandoorne suffered a similar fate when he was handed a 65-place penalty for his home race at Spa-Francorchamps last weekend. Such meaningless penalties incurred through no fault of the driver have come increasingly under scrutiny in Formula One with some saying the system has got out of control and must change. "I hate the fact that we're having to affect the racing because of the technical issues," Formula One managing director Ross Brawn, a title-winning former team principal and ex-Ferrari technical director, told motorsport.com. "I know you can say if a car breaks down in a race that's a technical issue and you've affected the race, but I think the fans understand that. "For a fan to stomach that his hero is on the back of the grid because he had to change the engine, that's not great sport," added the Briton. Brawn suggested a different form of penalty, or removing it altogether, but acknowledged that the sport might have to wait until 2021 when new engine regulations will come into force. The current Formula One regulations stipulate that each driver may use no more than four power units during a championship season, with that number due to be reduced to three next year. Each power unit is made up of six separate elements; the engine, the motor generator unit-kinetic (MGU-K), the motor generator unit-heat (MGU-H), the energy store, turbocharger and control electronics. Grid penalties are imposed if a driver uses more than four of any one of the elements during the course of a season, and for successive breaches. Honda said Alonso was now on his seventh engine and MGU-K, his ninth turbocharger and MGU-H, his sixth energy store and fifth control electronics. Alonso retired from the Belgian Grand Prix but some components of the power unit used there will be run again in Friday's second practice after Honda said they could find no obvious problem.

Honda, Mercedes top KBB brand image awards [w/video]

Kelley Blue Book has announced the winners of its 2014 Brand Image Awards, which look at brands with "attributes that capture the attention and enthusiasm" of customers in the market for a new car.
The award is divided up into luxury brands and everyone else non-luxury brands, with a number of sub-awards in each group. There's also a single award for truck brands. Taking the crown for the best everyman brand (for the second year in a row) is Honda, while Mercedes-Benz was the king of the luxury brackets. Ford, meanwhile, had the best image among pickup buyers.
Honda was also named the most trusted brand among shoppers, while Kia, GMC, Mini and Chevrolet also snagged awards for value, refinement, performance and styling, respectively. Secondary winners in the luxury ranks include Lexus, Buick, Porsche and Jaguar. Mercedes was also named the most refined luxury brand.