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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.

Recharge Wrap-Up: No new Smart Roadster, Africa to UK on one tank, Duke's efficient axial engine [w/videos]

Smart will not make another generation of the Roadster, but a Smart SUV might be in the cards. According to Smart's CEO, Annette Winkler, "The Roadster isn't a profitable business case. Everybody is keen on the car, but nobody wants to pay the bill." What Car? states that Smart is likely planning a baby SUV to take on the Nissan Juke and its ilk. But for the immediate future, Winkler says Smart "must focus on how we can maximize potential of the Fortwo and Forfour. That is strategy number one." Read more over at What Car?. A Mercedes-Benz E300 Bluetec Hybrid made the 1,223-mile trek from Africa to the UK on just one tank of fuel. Driven by Andrew Frankel of Autocar, the diesel hybrid left Tangier, Morocco with a full tank of gas (using the optional 80-liter fuel tank), and arrived in Goodwood with the car indicating 100 miles of range left. Frankel and his co-driver averaged 61.2 miles per gallon (73.6 mpg UK) on the intercontinental journey through four countries, despite elevation changes and a traffic jam. See the first video below for more information, or check out the article at Carscoops. Duke Engines promises simplicity and efficiency from the axial engine it's developing. Rather than lining up the cylinders, this engine arranges them in a circle, which allows Duke to avoid unnecessary weight. The five-cylinder, four-stroke motor manages the same amount of powerstrokes per revolution as a standard six-cylinder mill, but weighs 30 percent less. It also has much fewer parts, says Duke. Its high compression ratios mean more power with less fuel, which adds up to more efficiency and fewer emissions. The second of the two videos below, which we first found over at Sploid, explains Duke's axial engine. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. Related Gallery Smart Roadster Patents Related Gallery Mercedes-Benz E400 Hybrid and E300 BlueTec Hybrid: Detroit 2012 Photos View 13 Photos News Source: Carscoops, What Car?, Sploid via World Car Fans Green Mercedes-Benz smart Fuel Efficiency Technology Emerging Technologies Diesel Vehicles Hybrid Videos recharge wrapup diesel hybrid smart roadster

Bahrain Grand Prix proves that Formula 1 finally has parity

Ferrari driver Sebastian Vettel claimed victory at the Bahrain Grand Prix 6.6 seconds in front of Mercedes-AMG's Lewis Hamilton. In so doing, Vettel vaulted into first place in the driver standings ahead of Hamilton, with two race victories to the Mercedes driver's one. The decisive moment in the race came with 16 laps remaining, as Hamilton served a 5-second penalty for holding up Red Bull's Daniel Ricciardo in the pit lane in an earlier pit stop during a safety car period. Hamilton was able to reclaim second place in front of teammate Valtteri Bottas with 10 laps remaining, and he cut Vettel's lead from 13 seconds to 6.6 seconds at the finish. Bottas went on to finish third, followed by Ferrari's Kimi Raikkonen in fourth. Ricciardo crossed the line in fifth, meaning there were three constructors in the top five places in Bahrain. Perhaps more than anything else, the 2017 season has been unpredictable and entertaining, marking a break from the last several years in F1 where one marque has been dominant. Here's hoping the rest of the year provides similar thrills and spectacle. Related Video: Image Credit: Lars Baron/Getty Motorsports Ferrari Mercedes-Benz Racing Vehicles F1 Lewis Hamilton Sebastian Vettel