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Geely wants to be a tech-sharing 'friend' of Daimler in $9B bet

Chinese carmaker Geely has built up an almost 10-percent stake in Daimler in a $9 billion bet by its chairman that he can access the Mercedes-Benz owner's technology in the growing battle for the future of automotives. The purchase by Li Shufu, Geely's founder and main owner, means China's largest privately-owned automaker is now the biggest shareholder in Germany's Daimler. Geely said on Saturday there were no plans "for the time being" to raise the stake further. Instead, it will seek to forge an alliance with Daimler, which is developing electric and self-driving vehicles, to respond to the challenge from new competitors such as Tesla, Google and Uber. "No current car industry player is likely to win this battle against the invaders from outside without friends. To achieve and assert technological leadership, one has to adapt a new way of thinking in terms of sharing and combining strength. My investment in Daimler reflects this vision," Li said. "Daimler is pleased to announce that with Li Shufu it could win another long-term orientated shareholder, which is convinced by Daimler's innovation strength, strategy and future potential," the German company said in a statement. Geely officials plan to travel to Stuttgart to meet Daimler executives early next week and also hope to meet top German government officials in Berlin, two sources familiar with the matter told Reuters. The Chinese firm plans to use the meetings to underline that it intends to be a supportive long-term investor, they said. Daimler had no immediate comment on any meetings. Geely and the German economy ministry declined to comment. Chinese investors in German technology companies have tended to take a consensual approach, buying incremental stakes in companies such as robotics firms Kuka and Kion, typically after long consultation with management and other stakeholders. In November, Geely asked Daimler to issue new shares so it could buy a stake, as a way to access Mercedes-Benz technology for electric cars and trucks, including battery technology, to help Geely comply with a Chinese crackdown on pollution. But the German company turned down the offer saying it did not want to dilute existing shareholders, sources at the time told Reuters. Li changed tactics, and quietly amassed a stake of 9.69 percent worth $9 billion at Daimler's current share price.

2016 Mercedes-Benz GLC one-ups old GLK in every way

Meet the Mercedes-Benz GLC-Class, the latest in the automaker's increasingly impressive run of new or significantly updated (and occasionally renamed) vehicles that's included the immensely good C- and S-Class, and the upcoming GLE-Class – formerly known as the M-Class crossover. Unlike the GLE, which you'll be reading our First Drive on shortly, the GLC is much more than a mid-cycle refresh, representing the second-generation of Mercedes' compact crossover. While it represents a more significant update to the former GLK than the GLE does to the ML, the new GLC shares its looks with the larger vehicle. It's a handsome take on Mercedes' latest design language, featuring a similar rectangular, two-slat grille in the fascia. The greenhouse has hints of C- and S-Class in it, and is the best way of viewing the 4.6-inch stretch to the wheelbase. The taillights, meanwhile, take their inspiration from the S-Class Coupe and AMG GT. The new cabin isn't just prettier, it's more spacious, too. The C-Class and S-Class also serve as inspiration for what is a remarkably attractive cabin. While Audi has long served as the standard for interior design, with the C, S, and now the GLC, Mercedes can stake a claim to Ingolstadt's crown. Like the C-Class, the center stack is a wide, curving design that terminates in the controller for the infotainment system, while a tablet-like display sits up high. Leather, wood, and aluminum cover most every surface we can see in the initial batch of photos, while cool, blue accent lighting adds an extra dose of style. The new cabin isn't just prettier, it's more spacious, too. Thanks to the longer wheelbase, there's an extra 2.2 inches of space for second-row passengers. There's more room for cargo, too. Mercedes claims 20.5 cubic feet – non-SAE, it should be noted – behind the second row, up from 16.5 in the current GLK. While the GLC will be offered with a range of gas and diesel powertrains, US consumers will be offered the GLC300 first. Counterintuitively and like the C300, the entry level CUV uses a 2.0-liter, turbocharged four-cylinder engine with 241 horsepower and 273 pound-feet of torque. While we expect 4Matic to be the popular option, Mercedes will also offer a rear-drive-only model. There's no mention of additional powertrains beyond the launch model, although we'd expect the GLC to follow the C-Class' example and add a GLC400 powered by a 3.0-liter, twin-turbocharged V6.

VW joins Daimler's protest of new A/C refrigerant as EU deadline for compliance passes

The case of Dupont and Honeywell's refrigerant R-1234yf is doing the exact opposite of keeping things cool. The two chemical companies have spent years and hundreds of millions of dollars developing R-1234yf to replace R-134a, the new refrigerant shown to be 99.7-percent kinder to the environment than the one it is meant to succeed. Part of that development has been years of testing by governments, outside safety agencies and automakers to approve the chemical for use in cars. It passed the protocols necessary for the European Union to declare that new and significantly revised cars from 2013 onward needed to use R-1234yf, and mandated that every car as of 2017 must use it.
Enter Daimler AG. The automaker created a head-on collision test with a B-Class at their Sindelfingen test track that would lead to the pressurized refrigerant being sprayed on the engine. The result in 20 out of 20 test was that the refrigerant burst into flames as soon as it hit the hot engine, while Daimler says that R-134a does not catch fire in the same test. Another unexpected result of the R-1234yf test was the release of hydrogen flouride, a chemical far more deadly to humans than hydrogen cyanide, emitted in such amounts that it that turned the windshield white as it began to eat into the glass.
Said a Daimler engineer in a Reuters piece, "It was scarcely believable. The most complicated lab tests conducted using the most sensitive measuring instruments around found nothing and all we do is drive a car around a couple of times, open a tiny hole in the refrigerant line and the next thing you know the car is on fire." So Daimler said it wouldn't use the refrigerant, and it recalled the cars it had already shipped with R-1234yf.