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The UK votes for Brexit and it will impact automakers

It's the first morning after the United Kingdom voted for what's become known as Brexit – that is, to leave the European Union and its tariff-free internal market. Now begins a two-year process in which the UK will have to negotiate with the rest of the EU trading bloc, which is its largest export market, about many things. One of them may be tariffs, and that could severely impact any automaker that builds cars in the UK. This doesn't just mean companies that you think of as British, like Mini and Jaguar. Both of those automakers are owned by foreign companies, incidentally. Mini and Rolls-Royce are owned by BMW, Jaguar and Land Rover by Tata Motors of India, and Bentley by the VW Group. Many other automakers produce cars in the UK for sale within that country and also export to the EU. Tariffs could damage the profits of each of these companies, and perhaps cause them to shift manufacturing out of the UK, significantly damaging the country's resurgent manufacturing industry. Autonews Europe dug up some interesting numbers on that last point. Nissan, the country's second-largest auto producer, builds 475k or so cars in the UK but the vast majority are sent abroad. Toyota built 190k cars last year in Britain, of which 75 percent went to the EU and just 10 percent were sold in the country. Investors are skittish at the news. The value of the pound sterling has plummeted by 8 percent as of this writing, at one point yesterday reaching levels not seen since 1985. Shares at Tata Motors, which counts Jaguar and Land Rover as bright jewels in its portfolio, were off by nearly 12 percent according to Autonews Europe. So what happens next? No one's terribly sure, although the feeling seems to be that the jilted EU will impost tariffs of up to 10 percent on UK exports. It's likely that the UK will reciprocate, and thus it'll be more expensive to buy a European-made car in the UK. Both situations will likely negatively affect the country, as both production of new cars and sales to UK consumers will both fall. Evercore Automotive Research figures the combined damage will be roughly $9b in lost profits to automakers, and an as-of-yet unquantified impact on auto production jobs. Perhaps the EU's leaders in Brussels will be in a better mood in two years, and the process won't devolve into a trade war. In the immediate wake of the Brexit vote, though, the mood is grim, the EU leadership is angry, and investors are spooked.

Jaguar may kill supercharged V6 to make way for inline-six

This could be the last year to score a Jaguar with the carmaker's 3.0-liter supercharged V6. Autocar reports that Jaguar deep-sixed the the XE S and XF S in the UK due to poor sales and difficulty coping with European emissions regulation changes taking place this year. The mag expects the XJ and F-Pace to lose the V6, too, but suspects the F-Type might retain the engine. It's possible, however, the bent-six with up to 380 horsepower and 339 pound-feet of torque might finally be retiring for a reason reported on for at least three years: To make way for a 3.0-liter inline-six from the Ingenium line of motors. In 2015, Motor Trend noted the supercharged V6 would die at the end of 2016, succeeded by a "more powerful Ingenium inline-six," likely to be turbocharged. One year later, Car laid out a new family of Ingenium inline-sixes in gasoline and diesel versions. There would be three gas options with 300, 400, and 500 horsepower, plus three diesels with 275, 335, and 400 hp and herds of torque. In Car's report, the engines were meant to be here in 2017. This could be the year it finally happens. A Jaguar spokesman in the UK told Autocar that an uptake of less than 2 percent on the S models, "Coupled with impending emissions regulation changes, it makes sense to remove these variants from sale in the UK." When Jalopnik asked Jaguar U.S. about availability here — we aren't a party to the imminent European emissions changes — the carmaker would only say that the engine remains available in the current XE, XF, XJ, F-Type and F-Pace. No matter the timeline, Jaguar would want a six-cylinder to fill the gap from the 296-hp Ingenium 2.0-liter four-cylinder to the supercharged 5.0-liter V8 that starts at 470 hp. Jaguar expanded an area of its Wolverhampton, UK, engine factory to build the scalable Ingenium line. An inline-six would not only reconnect with Jaguar's past — and the firm's long-hooded cars remain ready to swallow them — the straight-six is lighter, has fewer moving parts, and emits less pollution than the supercharged V6. It is also compatible with front-, rear- and all-wheel drive, longitudinal and transverse mounting, and hybrid applications, so expect to see the motor migrate to the Range Rover, Range Rover Sport, and Land Rover Discovery.

2013 Jaguar XF Sportbrake

Editor's Note: Our reporter was anxious to get some time behind the wheel of the XF Sportbrake, even though Jaguar only had a very small window available for us to drive it. As a result, we weren't able to capture our usual original images to go with the Quick Spin story. Please accept our regrets, and Jag's lovely stock photography, instead.
The last wagon attempt from Jaguar was the X-Type, built between 2003 and that model line's unceremonious end in 2009. That X-Type and its legacy represent a real dog of a chapter for Jaguar, and for the Halewood factory where the barker was built. It was the final joke told prior to the brand's proper rebirth phase - a phase we're enjoying the heck out of today.
Current magnanimous Jaguar owner Tata can be thanked for this new wagon, the XF Sportbrake. Like all newness coming from Jag these days, this new wagon also feels lightyears more serious an offering, ready to compete squarely with established premium wagon makers across Europe. A Jaguar wagon in America is a far-off priority for the company, frankly. Still we deserve to know what we're missing for the time being from this (sometimes overly) cherished British firm.