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Trump reportedly says he wants to wipe German cars off the U.S. map

BERLIN/FRANKFURT — A report that U.S. President Donald Trump has threatened to pursue German carmakers until there are no Mercedes-Benz rolling down New York's Fifth Avenue dented shares in the luxury car manufacturers on Thursday. An excerpt from German magazine Wirtschaftswoche's article, which cited several unnamed European and U.S. diplomats but did not include any direct quotes, could not be independently verified, while a U.S. Embassy spokesman in Berlin referred questions to Washington. The news and current affairs magazine said Trump had told French President Emmanuel Macron in April that he aimed to push German carmakers out of the United States altogether. Macron's administration in Paris declined to comment on the report. The Trump administration last week opened a so-called Section 232 trade investigation into vehicle imports, which could result in a 25 percent tariff on cars on the same "national security" grounds Washington used to impose metals duties in March. This could destroy exports by German carmakers, which control 90 percent of the U.S. premium market and are the biggest European Union exporters of cars to the United States. BMW owns Rolls-Royce, while Daimler has Mercedes-Benz, and Volkswagen controls Bentley, Bugatti, Porsche and Audi. Daimler, BMW and Audi declined comment. Porsche was not immediately available for comment. BMW shares were trading 0.5 percent lower at 0939 GMT, while Daimler and VW's shares were down 1 percent and 1.6 percent respectively, underperforming Germany's blue-chip DAX. Trump has railed against German carmakers before. And in early 2017, in an interview with German newspaper Bild, he said he would impose 35 percent tariffs on imported cars. At the time, the president called Germany a great car producer but said that the business relationship with the United States was an unfair one-way street. Germany's auto industry association VDA says its members exported 657,000 vehicles to North America last year, with total exports of vehicle components, cars, engines, as well as second-hand vehicles totaling 31.2 billion euros in 2016. Imports from the United States to Germany amounted to 7.4 billion euros, meaning a trade deficit of 23.8 billion euros the VDA's latest available figures show. However, German brands also have huge factories in the United States, where they built 804,000 cars last year, VDA said, providing jobs for U.S. workers. Berlin has reacted angrily to the U.S.

Mercedes testing C-Class plug-in hybrid modes in Germany

Testing appears to be underway for what would be the first Mercedes-Benz C-Class with a hybrid powertrain. We can see a pair of the prototypes undergoing testing in Germany, with one, a C-Class Wagon, still heavily clad in camouflage and featuring a more noticeable outlet on the passenger side of its rear bumper.
There's also a more production-looking sedan, which features a not-so-discreet flap over its rear-bumper outlet. It's difficult to speculate on power outputs for this fuel-sipping C-Class, although our spies seem to think that this car will feature some combination of a four-cylinder gas engine with an electric motor, although just which four is unclear (note, we wouldn't mind if MB fit its 2.0-liter turbo with some batteries and motors). Regardless, the four-pot/electric motor seems like a pretty reasonable combo, although it probably means that Mercedes won't be challenging the six-cylinder-powered system of the BMW ActiveHybrid3 any time soon.
When the plug-in C-Class arrives later this year as a 2015 model, it will likely offer a full range of driving modes, including both gas or electric, only, as well as a more traditional hybrid mode.

2015 Mercedes-Benz GLA250 4Matic Quick Spin [w/video]

Certain expectations come with the name "Mercedes-Benz." We picture cars with luxuriously appointed interiors, fashionable exteriors, Autobahn-worthy performance, and a ride that delivers an optimal balance between agility and outright comfort. Expectations, though, are no friend to the GLA250. This is a car that is deeply confused as to its purpose in life – can it be a proper Mercedes-Benz while still being a reasonably priced, subcompact crossover? After a week behind the wheel, we believe the two are mutually exclusive. Driving Notes The exterior styling is similar to the not-for-America A-Class hatchback, with the only major differences found on the rear end. That means that even with its flashy 19-inch AMG wheels and sport body styling – more aggressive front and rear fascias – the GLA is a stylish piece. We might even call it cute. Considering our 4Matic model's reasonable $34,225 starting price, the interior treatment is both attractive and uses mostly quality finishes. The matte Satin Light Brown Poplar wood ($325) covers a large portion of the dash, while the real metal found on the air conditioning vents is elegant and handsome. There is a lot of plastic in the cabin: It's soft on the dash, and switches to a piano-black finish in spots, but the center console and door finishers don't feel like they came from the Mercedes parts bin. In general, the GLA's cabin feels roughly equal to that of the Audi Q3 and BMW X1 – nice, but a step lower than what we've come to expect from Mercedes. The two-piece, leather-lined seats look great, but even with standard 14-way adjustability, they lack support. The bottom cushion is very flat, and doesn't support the legs. For this author, that's a recipe for near-constant back pain. That said, the chairs do look good, especially in the brown of this test car. The GLA250, like a few other models in the Mercedes range, uses a 2.0-liter, turbocharged four-cylinder, delivering a weak 208 horsepower. It makes up for that shortcoming with 258 pound-feet of torque from 1,250 rpm to 4,000 rpm. On paper, this sounds good, but in the real world, the 2.0T's power is tough to access. That's due more to the shortcomings of the seven-speed dual-clutch automatic than the engine itself. With three modes – Eco, Sport, and Manual – we thought we'd find at least one that could serve up precise downshifts.