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Mercedes-Benz may create electric-only brand

Daimler's Mercedes-Benz division may follow in fellow German automaker BMW's footsteps by launching its own separate brand for electric vehicles, Hybrid Cars says, citing German publication Handelsblatt, which quoted people familiar with the process. Daimler's board may make the decision to go ahead with the plan as early next month. And the brand may officially be unveiled at the Paris Motor Show in September. Unlike BMW and the i brand, Mercedes would use its existing factories to produce the newly-branded vehicles instead of operating out of a separate one as the i brand does. The first vehicle under the brand is likely to be an SUV model based on the Mercedes-Benz GLC crossover vehicle and would start sales next year. The product line would be broadened further in 2020. Daimler declined to comment, according to Handelsblatt. Mercedes-Benz and BMW wouldn't be the only two German automakers with plans for more electric vehicle sales. Volkswagen has a plan to unleash as many as 20 electric vehicles and plug-in hybrids to the public by 2020, including the Phaeton and the Audi A8. On that note, reports surfaced last month that VW may build its own "Gigafacory" as it prepares to widen its plug-in vehicle push and bring down their costs. As for US sales, Smart sold 313 ForTwo Electric vehicles, down 43 percent from a year earlier. Meanwhile, BMW's i sales in the US fell 40 percent from a year earlier to 2,723. Currently, Mercedes-Benz's only two electric vehicles are the Mercedes B-Class Electric Drive and the Smart ForTwo Electric two-seat vehicle. In the meantime, take a look at Autoblog's First Drive of the B-Class Electric. Related Video: News Source: Handelsblatt, Hybrid Cars Green Mercedes-Benz smart Electric

Recharge Wrap-up: Toyota FCV Rally Car To Compete, Barra bullish on Chevy Volt

The Toyota FCV will compete in the last stage of the 2014 Japanese Rally Championship. The sport-tuned hydrogen-powered car will tackle the 177-mile Shinshiro Rally on November 1 and 2, emitting no greenhouse gases in the process. The rally course will help prove the safety of the vehicle before it goes on sale in Japan in the next several months. The Toyota FCV, rumored to be called "Mirai" in Japan, will begin sales there before April, according to Toyota, and in the summer in the US and Europe. Read more in the press release below. Carsharing is becoming more popular, and more visible, throughout the world, including the US. According to WardsAuto columnist John McElroy, 18 percent of US drivers have used some sort of carsharing service. Additionally, he says 60 percent of Americans are familiar with Zipcar and Uber. Mercedes' Harald Kroeger says promotions like free parking for carshares in Stuttgart are encouraging growth for Daimler's carsharing service, Car2go. Read more at WardsAuto. Ethanol is being help up by rail transport, according to ethanol producer Green Plains. More and more stations are carrying E15 blend gasoline, but grain producers have complained that crude oil is given higher priority by the rail lines shipping it, which rail companies deny. Union Pacific and BNSF Railway say they are stepping up service to make sure that ethanol can be shipped reliably to customers. Read more at Omaha World-Herald. General Motors "has placed a significant bet [on] the electrification of the automobile," says CEO Mary Barra. In a speech to the Detroit Economic Club this week, she spoke about the Chevrolet Volt, and its importance to GM's future. While Barra admits the Volt's success has been "not everything we wanted," it has provided experience, and shows that EVs have "an important role in the future of GM." The new Volt is more refined, stores more energy, has longer range, uses less fuel and is a big investment for Michigan. She announced that the new Volt's electric drive system will be built in Warren, and that all of its major components will be made in Michigan. "Silicon Valley doesn't have a corner on the market for innovation, creativity and drive," says Barra. "These qualities exist here – in this region – as well." See the speech's highlight video and read more in the transcript below. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.

US buyers show little interest in big hybrids

The idea of producing large, luxury-vehicle hybrids is turning into a "what were they thinking?" exercise in futility, USA Today reports. General Motors is discontinuing hybrid versions of the Cadillac Escalade, Chevrolet Tahoe and GMC Yukon SUVs, while Mercedes-Benz and Toyota's Lexus division are doing the same with their S-Class hybrid and LS hybrid sedans, respectively. The culprit? Big price increases for fuel economy improvements that border on the unimpressive. Granted, the Escalade hybrid gets 31 percent better fuel economy than the standard version, but that still maps out to a combined fuel-efficiency rating of just 21 miles per gallon. That can be seen as a worthwhile increase, if it didn't cost over $8,000 extra. The 2014 Escalade Hybrid, for example, starts at $74,425 while the non-hybrid can be had for $66,295. Meanwhile, the Lexus full-size hybrid costs $6,000 more than the regular version but only gets 1-2 mpg better combined fuel economy. The result of all these high costs? Low sales. Through April, GM sold 82 of its hybrid SUVs and pickups, down from 541 a year earlier. And the LS hybrid sales were in single-digit territory for April. That isn't stopping Lexus from promoting its hybrids as the right solution (with the wrong facts), though. There are still automakers giving big hybrid vehicles a shot, though. Nissan's Infiniti division is selling a hybrid version of its QX60 and says an impressive 10 percent of QX60 buyers choose the hybrid, which costs just $3,000 more. Looks like money talks. Featured Gallery 2015 Cadillac Escalade: First Drive View 35 Photos News Source: USA TodayImage Credit: Copyright 2014 Brandon Turkus / AOL Green Infiniti Lexus Mercedes-Benz Hybrid lexus ls gmc yukon mercedes-benz s-class infiniti qx60 chevrolet tahoe