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Mercedes and Infiniti confirm joint production in Mexico [w/video]

It's official, folks: After initial reports last week indicated that Mercedes-Benz was preparing to begin assembly at the Nissan plant in Aguascalientes, Mexico, the two parent companies have announced just that. Only instead of using the existing Nissan plant at the site (in operation since 1992), Daimler and the Renault-Nissan Alliance have announced a joint venture to build a new one alongside it.
The latest stage in the growing French-German-Japanese collaboration is part of a new collaboration that will see Infiniti and Mercedes jointly develop and build a line of compact premium vehicles, with the first Infiniti models set to roll off the assembly line in 2017 and the first Benzes to follow a year later. Neither party announced exactly which models that would encompass, but Mercedes already has a robust line of small vehicles (including the A-Class, B-Class, CLA and GLA), and Infiniti has long been toying with the idea of slotting in something smaller below the Q50.
The billion-euro project, split evenly between the two industrial giants, is set to create 5,700 new jobs in Mexico. In addition to the Aguascalientes project, Infiniti and Mercedes are also undertaking joint production of four-cylinder engines (initially for the C-Class and Q50) in Decherd, Tennessee, from which they will be exported around the world. By the time the new factory in Mexico reaches full capacity in 2021, it will have the capability to produce 300,000 vehicles annually. That's on top of the 850,000 vehicles the existing facility is capable of handling.

Vettel and Coulthard drive Russia's very unfinished Sochi Circuit

The next Winter Olympics will happen in Sochi, Russia from February 7-23, 2014. Sometime after that, barring any delays, a portion of the Sochi Olympic Park will be turned into the Sochi Olympic Park Circuit, a 3.65-mile track for the first Russian Grand Prix in 100 years (the last of two Formula One grands prix were held in St. Petersburg).
As we've come to expect from the Infiniti Red Bull team, it recently sent Sebastian Vettel and brand ambassador David Coulthard to the unfinished venue to run the route in Infiniti M sedans and offer some impressions. With average cornering speeds above 62 miles an hour, Coulthard called it a fast street circuit in the Monaco vein. You can watch them try it out - yes, that's Vettel gone airborne above - and avoid a "White Van Man" in the video below.

Infiniti G37 to live on in showrooms alongside 2014 Q50

Infiniti is preparing to roll out its hotly anticipated 2014 Q50, a car that not only ushers in a new alphanumeric naming strategy, it ostensibly replaces the G37 as the brand's bread-and-butter sport sedan. That will happen, but not in the short-term, as the G37 will continue to be manufactured and sold alongside the Q50, at least for the rest of this year.
Infiniti spokesman Kyle Bazemore has confirmed to Autoblog that a decision is pending on how long to extend the G37 sedan's production run. "We're taking Q50 up a little bit, and that allows us to keep the G Sedan in the lineup... It [Q50] certainly started as a replacement, but it ended up being much more than that." Confusingly, Infiniti has already announced that the Q50 is to start at $37,605 (including $905 destination charge), yet the 2013 G37 is more expensive, starting at $38,255 delivered according to Infiniti's consumer website. Thus, a price drop on the G37 is likely coming in short order.
So why hold on to the older model? With the Q50 launching exclusively with V6 and Hybrid models (a turbo four and diesel are said to be in the cards down the road), Infiniti evidently feels it is risking leaving lower-end sales on the table. "There's a lot of movement with the [BMW] 320i and such, and this allows us a two-tier strategy to compete," says Bazemore. Keeping the G37 on tap at a lower price for fleet sale duty may also serve to protect the Q50 as it establishes itself on the market.