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Mini may not build electric cars in England due to Brexit

BMW will decide whether to build its new electric Mini in Britain or elsewhere by the end of September, its board member for sales told Reuters, in a test of the country's ability to continue to attract investment as it leaves the EU. Mini makes around 70 percent of its approximately 360,000 compact cars at its Oxford plant in southern England but the car industry is concerned about the effect any loss of unfettered access to the EU, its largest export market, could have on plants after Brexit. BMW is deciding between its English site, a plant in the Netherlands where it has built more of its conventional line-up in recent years, and its Germany plants at Leipzig and Regensburg for the new low-emissions variant. The firm's board member for sales told Reuters that the electric Mini investment, likely to be worth tens of millions of pounds, would come in the next three months and the board was currently considering a number of factors including Brexit. "One of the elements is what is the likelihood of a tax regime and if there's a tax regime, how would it apply," Ian Robertson said during an interview at the Goodwood Festival of Speed in southern England. "If you made the motor in a German plant and you then assembled the car in a British plant, and you took the cars back to the German market, then the duty that you would pay would be reclaimed," he said, in an example of the options companies are examining to plan for any duties or tariffs. The automaker is also looking into where the uptake of greener models is strongest and where the best supply chains are, he said. Britain could approve its first major electric battery hub in the next few weeks after officials in central England submitted proposals to ministers in May. But last month, the car industry issued its strongest warning yet on the need for politicians to strike a transitional Brexit deal after two-year talks to ensure unfettered trade is maintained. Uncertainty has also been heightened after a snap June 8 election which left Prime Minister Theresa May without a majority and has led to ministers in her administration hinting at different versions of Britain's likely post-Brexit future. Last year, May's administration helped secure two new models at Japanese carmaker Nissan's plant in the north of England after what a source said was a government promise of extra support to counter any loss of competitiveness caused by Brexit.

BMW sees shortage of crossovers in the United States

BMW of North America CEO Ludwig Willisch is anxious to get the Bavarian brand's $1-billion upgrade at the Spartanburg, SC, factory done because the automaker can't keep up with demand for its crossovers. The expansion should boost total capacity there to 450,000 units a year and support production of the upcoming X7. Still, Willisch would love to have more crossovers as soon as possible. "That is a constant battle now, to get more X3s and X5s," he said in an interview about the company's future in North America to Automotive News. If they the supply were available, Willisch predicts he could sell at least another 10,000 of the CUVs. Willisch sees getting the X7 on the market as a big win for the brand, too. "We were able to convince the company that this is exactly what we need in the United States," he said to Automotive News. However, there is a bit of a wait. The model rides on BMW's next-gen platform, and is at least two years away from challenging the Land Rover Range Rover and Mercedes-Benz's renamed GLS-Class (previously the GL-Class). The fullsize CUV reportedly shares development with Rolls-Royce and might offer the best interior of any model bearing the blue and white roundel. The boss also talked about other future product plans for this continent. For example, Willisch reiterated BMW will not bring the 2 Series hatchbacks here, citing a lack of a market for them. There will be plenty more plug-in hybrids available at dealers, though. Due to "legal requirements" and popularity, Willlisch says PHEV versions will be offered throughout the lineup by 2017. Although, the i sub-brand will stick with the i3 and i8 through that time.

2014 BMW X5 recalled over faulty child-safety locks

BMW is set to recall some 6,400 of its new-for-2014 X5 SUVs built between December 12, 2013 and March 10, 2014 due to concerns that the child safety locks, if set, might deactivate without warning. The problem affects only those vehicles with the automatic soft-closing option.
According to the bulletin issued by the National Highway Traffic Safety Administration, the lock mechanism on the rear doors "may not have been manufactured to correct tolerances," meaning the safety locks could disengage with a simple pull of the door handle. Basically, with a pair of tugs, the rear doors could be opened from the inside, regardless of child safety locks.
BMW is in the process of notifying owners of affected vehicles. Any necessary repairs will be conducted free of charge. Take a look below for the official press release from NHTSA.