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BMW expects China to pass US as its top market in 2013

When you combine two billion citizens, 100 cities with more than a million inhabitants and an economy that's as unrestrained as Jim Cramer on an Adderall binge, China's explosive auto industry growth shouldn't be a huge surprise. Audi already lists the communist country as its largest market, while Mercedes-Benz is expecting it to be there in the next few years. Now, according to a report from Automotive News, BMW is expecting the People's Republic to overtake the United States in sales by the end of 2013.
We already discovered the extent that BMW is going to in establishing a dedicated Chinese stronghold, when we explored BMW's Shanghai-based DesignWorks studio ahead of April's Shanghai Motor Show. And while we argued that DesignWorks Shanghai hasn't really borne fruit, it isn't due to a lack of sales.
BMW China has seen a 16-percent jump in year-over-year sales, lead by a 28-percent gain in 5 Series sales. Part of BMW's growth strategy comes from an ever-expanding dealership network. Remember those 100 cities we mentioned with over one million people? According to Karsten Engel, CEO of BMW's Chinese operations, those 100-million-plus city dwellers don't have access to a premium dealership.

Next Mercedes-Benz C-Class to get diesel, hybrid versions

Mercedes-Benz is planning a more aggressive product strategy for its next-generation C-Class range. "We were fighting the 3 Series with two arms tied behind our back, and now we will change that," Steve Cannon, the automaker's US CEO, told Automotive News in a recent interview.
In addition to offering more body styles of the new C-Class, AN reports that the revamped Mercedes will also be offered here with hybrid and diesel powertrains. Currently, the C-Class comes in coupe and sedan variants, with only gasoline engines. The BMW 3 Series, however, is available as a sedan, coupe, convertible and wagon, and offers buyers the choice of gasoline, diesel (the upcoming 328d) or hybrid power.
Mercedes-Benz will show the next-generation C-Class at the 2014 Detroit Auto Show, with sales of the US-built sedan following in August. Coupe, convertible and hybrid models will follow in early 2015, and while diesel and all-wheel-drive versions are planned, no specific timetable has been released regarding availability.

France formally moves to ban Mercedes vehicles using contested refrigerant

That didn't take long. Shortly after a French administrative court gave the French government a ten-day window to reconsider its ban on registrations of Mercedes-Benz A-, B- and CLA-Class cars using the prohibited R134a refrigerant, the government cited an EU directive to formalize banning the sale of the cars. The country's environmental ministry said that registrations "will remain forbidden in France as long as the company does not to conform to European regulations," meaning so long as they do not use the approved R1234yf refrigerant.
Daimler had won the administrative court decision by challenging France's application of a "safeguard" provision in which the EU allows a country to block sales of cars that would "seriously harm the environment." In spite of Daimler's victory, France has cited that very provision as basis for the continuation of the ban.
Daimler got permission from Germany's KBA federal motor authority to keep selling cars with the coolant banned by EU politicians, and is using that national permission as the right to sell the cars throughout Europe. Meanwhile, above that battle, German politicians are asking the EU to let Mercedes sell the cars in France while the KBA does more testing, at the same time as the EU is threatening Germany with repercussions if it doesn't bring the KBA and Daimler into line.