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Trump reportedly says he wants to wipe German cars off the U.S. map

BERLIN/FRANKFURT — A report that U.S. President Donald Trump has threatened to pursue German carmakers until there are no Mercedes-Benz rolling down New York's Fifth Avenue dented shares in the luxury car manufacturers on Thursday. An excerpt from German magazine Wirtschaftswoche's article, which cited several unnamed European and U.S. diplomats but did not include any direct quotes, could not be independently verified, while a U.S. Embassy spokesman in Berlin referred questions to Washington. The news and current affairs magazine said Trump had told French President Emmanuel Macron in April that he aimed to push German carmakers out of the United States altogether. Macron's administration in Paris declined to comment on the report. The Trump administration last week opened a so-called Section 232 trade investigation into vehicle imports, which could result in a 25 percent tariff on cars on the same "national security" grounds Washington used to impose metals duties in March. This could destroy exports by German carmakers, which control 90 percent of the U.S. premium market and are the biggest European Union exporters of cars to the United States. BMW owns Rolls-Royce, while Daimler has Mercedes-Benz, and Volkswagen controls Bentley, Bugatti, Porsche and Audi. Daimler, BMW and Audi declined comment. Porsche was not immediately available for comment. BMW shares were trading 0.5 percent lower at 0939 GMT, while Daimler and VW's shares were down 1 percent and 1.6 percent respectively, underperforming Germany's blue-chip DAX. Trump has railed against German carmakers before. And in early 2017, in an interview with German newspaper Bild, he said he would impose 35 percent tariffs on imported cars. At the time, the president called Germany a great car producer but said that the business relationship with the United States was an unfair one-way street. Germany's auto industry association VDA says its members exported 657,000 vehicles to North America last year, with total exports of vehicle components, cars, engines, as well as second-hand vehicles totaling 31.2 billion euros in 2016. Imports from the United States to Germany amounted to 7.4 billion euros, meaning a trade deficit of 23.8 billion euros the VDA's latest available figures show. However, German brands also have huge factories in the United States, where they built 804,000 cars last year, VDA said, providing jobs for U.S. workers. Berlin has reacted angrily to the U.S.

2016 Audi TTS Quick Spin

So, this is awkward. Last week, you (hopefully) read my Quick Spin on the Mercedes-Benz C450 AMG, a vehicle that I argued was dynamically very good, but wasn't so much better than the standard C300 to make it a worthwhile buy. Now I'm going to voice a similar opinion. The Audi TT has always been a vehicle you bought for the style, rather than the performance. If you wanted an athletic two-seat German, you just bought a Porsche Boxster. But the TT, that's a car you bought for the way it looks. And the way it looks remains the strongest argument against the car you see here, the TTS. In short, it's quick, agile, and more aggressive looking, but none of those qualities are so dramatically better than the plain-jane TT. Another Autoblogger came to this conclusion while tracking the new TTS – now I'll explain where this car misses the bull's eye on the road. Driving Notes Audi will probably never match the design impact of the original 1998 TT, but the third-gen feels like a more mature, cohesive evolution of the handsome second-generation car. The front and rear fascias are sharper, more muscular, the headlights/taillights chiseled and emotive, and the front grille significantly more powerful. Even in the subdued Daytona Gray shown here, this is a car that can get people staring almost as easily as that original model. The interior of the third-generation TT is as much a design triumph as the first TT's exterior. It's a master class in clean, simple, elegant design, but it's also extremely disorienting. Buttons for the HVAC system are hidden on the vents themselves and not having a central display of any kind is jarring. Once you get used to the layout and embrace the absolutely exceptional Virtual Cockpit – seriously, I'm convinced this is the finest piece of in-car technology on the market – the cockpit layout just starts making sense. This is a compact cabin, but it's a wonderful place to spend time. In addition to Virtual Cockpit, the S Sport seats (optional on the standard TT) are supportive and perfectly snug. Even for the big boned, the flat-bottomed steering wheel is a delight. The material quality is high across the board. Perhaps the biggest complaint is the charitably named backseats. Audi should just go with an R8-style shelf back here – those tiny buckets aren't fooling anyone. It'd make for a more versatile interior. Audi's current TT engine line is restricted to 2.0-liter, turbocharged four-cylinders.

Production 4.0: Audi plans for the smart factory

Automotive production is becoming more integrated and at the same time has to be more intelligent and more efficient. Flexible production of customized vehicles is one of the big challenges for the future, especially for a premium carmaker like Audi. How will the "Vorsprung durch Technik" brand meet its aim of offering premium quality with added custom flexibility? The company sees the "smart factory" as the key. Whether it's body-color moldings or light-alloy wheels in a special size, almost every car is ordered with some kind of customization, and the demands are increasing. This requires of course already a lot of flexibility. While the variety of models and quality demands are increasing, automotive manufacturers such as Audi are eager to make production sustainable. In an Audi interview, innovation management members Alois Brandt and Henning Loser talk about "production 4.0" and the upcoming "smart factory." How will Audi manage the production site with its very high standards of quality, efficiency, and environmental acceptability? Will the so-called "smart factory," which should be the intelligent factory of the future, only employ robots? Alois Brandt: "With a deep look into the production, I am convinced that our employees and not machines are the relevant working forces behind the Audi brand. Machines can be bought anywhere." Increasing digitalization is paving the way for the smart factory – the intelligent, digitally connected production facility. New high-tech solutions in manufacturing should further increase the high level of quality, while at the same time the assembly work should be easier and result in better ergonomics. Can you give us a clearer imagination of the "smart factory"? Alois Brandt: "There are a lot of ideas. But the big question at the moment is: Which one is really needed and leads into the right direction?" Can you tell us a little bit more about "production 4.0"? Alois Brandt: "The assembly line as we know it in the present will no longer play the same role. If it makes sense, it will be terminated and replaced by – let's call it – a virtual assembly line. The production will be more modular than before and the car will be directed to a production point – a so-called 'island of competence' – where it is needed." Henning Loser: "If the vehicle is to be assembled to the customer's wishes, it is obvious that efficient programming of robots and coordinating with the human workers is needed.