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How tariffs in China could cause a meltdown in the American South

While BMW is clearly a German company, the crossovers that are exceedingly important to it are actually made in Spartanburg, South Carolina. And more than that, the Spartanburg plant (physically located in the town of Greer) is where the corporate know-how and capability for those vehicles is concentrated. These are the vehicles – specifically, the BMW X3, X4, X5, X6, X7 – that drove record growth for the company in 2018, according to BMW. But whatÂ’s most notable about BMW Group Plant Spartanburg, given current events, is that according to the U.S. Department of Commerce it was the largest automotive exporter by value for the fifth year running in 2018. ThatÂ’s worth emphasizing: largest automotive exporter by value. Not GM. Not Ford. BMW. And where might one assume that more than a few of those X vehicles are shipped to? China. Some 360 miles southwest of Spartanburg is Mercedes-Benz U.S. International, Inc., in in Tuscaloosa County, Alabama. It started building vehicles in 1997. Since then, Daimler AG has invested in excess of $5.5 billion in the facility. It manufactures the crossover now known as the GLE, formerly the ML-Class. It also makes the GLE coupe and GLS. Daimler describes the Tuscaloosa facility as “the traditional home of SUV production” for those vehicles. When it reported its global 2018 sales, Daimler noted that on a global basis SUVs account “for more than a third of all Mercedes-Benz sales.” According to the Chinese finance ministry, on December 15th the Chinese government will impose a 25% tariff on automobiles (and a 5% tariff on auto parts) from the U.S. Certainly this is going to have a direct effect on the sales of vehicles that are manufactured in the U.S. and exported to China. BMW and Mercedes are going to take it on the chin for the vehicles that they make in plants that they invested in so heavily in the U.S. Which could potentially mean that people in places like Greer, South Carolina, and Vance, Alabama, are going to find themselves in the crosshairs of the combatants. Soo too could Lincoln, which produces vehicles in places like Louisville, Kentucky (Navigator), Chicago, Illinois (Aviator) and Flat Rock, Michigan (Continental). Although the Tesla Gigafactory 3 is rapidly nearing completion in Shanghai, it is worth noting that vehicles built in Fremont, California, are being sold in China in numbers that donÂ’t make Musk unhappy.

Mercedes FWD platform to last until 2018, convertible and two-seater future uncertain

Mercedes-Benz seems to be expecting a lot of success from its front-wheel-drive CLA-Class. Automotive News is reporting that the sub-C-Class sedan could grow when its second generation arrives in 2018.
The current FWD platform for MB underpins the CLA, the B-Class, the GLA-Class, and the A-Class. The B-Class will arrive in North America as an EV for spring of 2014, while the production GLA crossover will arrive three to four months after that. The five-door A-Class won't be crossing The Pond. Sad faces all around.
According to AN, another model will be based on the front-drive architecture, but it won't be coming to the US market. Set to arrive next year, rumors are that it'll be a wagon version of the CLA, sort of like the ill-named five-door CLS Shooting Brake that is also a Europe-only item.

Daimler, Qualcomm working on wireless EVs

Despite not being available on any mass-produced electric vehicle, wireless charging is not new. In fact, Qualcomm is an old name in the business and has announced partnerships with major automakers before. In 2011, for example, Qualcomm and Renault said they would work together on wireless electric vehicle charging technology. Just something to keep in mind when you read about this past weekend's announcement that Qualcomm and Daimler are going to work together on wireless charging. To be fair, the announcement goes beyond just integrating wireless charging technology into new EVs. Qualcomm has a lot of future tech work going on that connect your car to other systems, like the 3G/4G cell network. These are the sorts of things that the two companies are going to work on first, but Halo Wireless Electric Vehicle Charging (WEVC) is on the To Do list. Qualcomm has said its Halo wireless charging parking spot technology, originally developed at the University of Auckland, could also be used in roadways at some point, so keep an eye out for Daimler test vehicles repeatedly driving over the same patch of asphalt. Daimler and Qualcomm Announce Strategic Collaboration on Connected Car Technologies MONACO – May 23, 2015 – Today, Qualcomm Technologies, Inc., a subsidiary of Qualcomm Incorporated (NASDAQ: QCOM), and Daimler AG announced a strategic collaboration focused on pioneering innovation in the connected car. In the first phase of the collaboration, the companies will focus on transforming future vehicles with mobile technologies that enhance in-car experiences and vehicle performance such as 3G/4G connectivity, wireless charging technology for in-vehicle use and implementation of the Qualcomm Halo™ Wireless Electric Vehicle Charging (WEVC) technology. In addition, the companies are jointly assessing the application of Qualcomm Technology's newly developed Automotive Solutions. Qualcomm Technologies is collaborating with Daimler on its Wireless Power Transfer 2.0 high performance program for electric vehicles. The Qualcomm Halo™ WEVC technology provides high performance and high power in a small vehicle package that could allow Daimler customers to charge their electric vehicles (EV) and plug-in hybrid EVs without ever having to plug them in. In addition, Qualcomm® WiPower™ technology enables consumer electronics to charge wirelessly in-vehicle.