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U.S. issues new tariff threat, this time against British-built cars

WASHINGTON — Britain is the United States' closest ally but their long friendship may be sorely tested as the two countries try to forge a new trade agreement after Britain's exit from the European Union. U.S. Treasury Secretary Steven Mnuchin said on Saturday in London that he was optimistic that a bilateral deal with Britain could be reached as soon as this year. But Mnuchin gave up no ground after a second meeting with his UK counterpart, Sajid Javid. Javid has insisted that Britain will proceed with a unilateral digital services tax, despite a U.S. threat to levy retaliatory tariffs on British-made autos. Mnuchin told reporters after Saturday's meeting that such taxes would discriminate against big U.S. tech companies like Alphabet Inc's Google, Apple, Facebook and Amazon. The UK Treasury declined to comment on the private meeting. The divide highlights the challenges ahead as the Trump administration seeks a new bilateral agreement with Britain, part of a broader push to rebalance relations with nearly all its major trading partners. The stakes are high — British Prime Minister Boris Johnson has pegged the trade deal with United States as a way to ease the pain of breaking with Europe, Britain's largest trade partner. U.S. President Donald Trump, has promised a "massive" trade deal to support Brexit, the product of a populist movement similar to his "America First" agenda. The goodwill and special relationship the two countries have enjoyed for decades may not count for much, experts say. "Trump is not going to be doing Johnson any favors," said Amanda Sloat, a senior fellow with the Brookings Institution in Washington. "He's not going to give him a trade deal without major concessions." Even before the digital tax issue arose, the Trump administration threatened to tax foreign car imports, which could hit British-made Jaguar, Land Rover, Mini, and Honda Civic hatchback cars. Stiff U.S. trade demands include increased access for U.S. farm goods, concessions that will be difficult for Britain's entrenched natural food culture to swallow. The United States also wants Britain to change the way its National Health Service prices drugs and allow in more U.S. pharmaceuticals, which could prove politically unpopular for Johnson's government. Washington's demand that London block Chinese telecoms equipment maker Huawei Technologies Co Ltd for national security reasons could also cloud talks.

Over 10 years of research went into the Rolls-Royce Spectre EV

Rolls-Royce's first series-produced electric model, the 577-horsepower Spectre, made its debut in October 2022. Electrification suits the British luxury brand well, as its clients primarily prefer a smooth and quiet ride over a deep exhaust note that sends chills down your spine. But the company's top executive told Autoblog that finding the right path to the EV segment required over a decade's worth of research. The electric 102EX prototype from 2011 helped blaze this path. It wasn't approved for production, but it showed Rolls-Royce what to do. "We never intended at that time that we would bring [the 102EX] to the market," company boss Torsten Muller-Otvos told me on the sidelines of the 2023 Villa d'Este Concours d'Elegance. "I joined Rolls-Royce in 2010, and I was always in the belief that we need to look into alternative propulsions for the brand." Rolls-Royce is part of the BMW Group, and this practice is common throughout the company: BMW and Mini experimented with electric prototypes at that time as well, and the iX5 presented in 2023 will bolster the firm's hydrogen research. Rolls-Royce learned several lessons from the 102EX project. One was to simply keep on keeping on. "One clear learning from all of our clients worldwide is to make sure that it is a Rolls-Royce first and an electric car second, not the other way around. [The Spectre] smells like a Rolls-Royce, it feels like a Rolls-Royce, and it sounds like a Rolls-Royce — [that means that] there is no sound, obviously. [There is] no funky dashboard, huge screen, or whatever. That would not be us," he continued. Customers also told Rolls-Royce not to make a car defined by superlatives. These buyers aren't concerned about having the longest driving range or the quickest acceleration time, largely because they already have a variety of different cars in their fleet plus access to private jets. This also explains why many Rolls-Royce models aren't used as long-distance cars in spite of a powerful V12 engine and a spacious interior. "It was clear that we don't need to be number one with outrageous range; a range of [about 310 miles] is totally sufficient for our clients. [The EX project] also gave us the right logic behind battery size, what we need to do in terms of body shape, and what the car should look like. It's a very fine balance between range, the size of the battery, and what kind of compromises you suddenly get into the entire design of the car. I'm going to say we learned a lot.

Navigating the road time forgot in a Rolls-Royce Cullinan

The Rolls-Royce Cullinan glides evenly over the rutted single-lane dirt road, barely unsettling its passengers. Nobody is speaking in the lush cabin, not even my normally chatty 7-year-old.  All eyes are turned to the Delaware River gliding by, a dozen feet away, through a skim of skeletal hardwood trees. There’s no sign of humanity or habitation. ItÂ’s almost a scene in a movie. The Last of the Mohicans, perhaps.  Today we are exploring the Old Mine Road, and it is making us think of ghosts. Its 104 miles of asphalt and dirt make up one of the oldest continuously-used roads in America, stretching from New YorkÂ’s Catskills to the Pennsylvania Delaware Water Gap. The Lenape are thought to have first threaded a path here in the 1300s.  It is also a pathway wending its way through the NortheastÂ’s violent history, from bloody skirmishes between the original Native American inhabitants and European settlers to the Americans and Brits in the Revolutionary War. Little wonder that out here in the quiet, that history — and those ghosts — feel close. Amazingly, the 40-mile section in New Jersey that follows the eastern banks of the Delaware looks much like it did a hundred years ago. There are million-dollar views, but as part of the Delaware recreation area, no development is allowed.  Instead of the gated McMansions youÂ’d expect less than 1.5 hours from New York City, we are greeted by silent forest and twin lanes of bumpy or shattered asphalt. ThereÂ’s a section of dirt and gravel, narrowing to a single lane. Easy to imagine hundreds of years of horses and mules stamping down the thin path.  It is early spring and like everyone else, we have cabin fever. My wife, son and mother-in-law are sheltering-in-place at our country house in the Poconos. America is locked into a struggle with an invisible enemy. It seems a good time to get some historical perspective. If our ancestors lived and endured under harsh conditions, so can we.  There is nothing inherently unsafe or socially unacceptable about taking a short road trip on a virtually unused road, so we pack a lunch of cold pizza and snacks, and pile into the leather-bound, environmentally-controlled cocoon of the Rolls. We make our way to Kingston, N.Y., where the road begins. IÂ’m finally going to drive the entirety of the Old Mine Road.   Our Barney-purple Cullinan is a rolling sanctuary, a movable fortress of social isolation.