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AMG could have a hybrid model on sale by 2020

European CO2 regulations are driving every carmaker to previously unthinkable solutions in order to reduce emissions. And so far those unthinkable solutions, like a turbocharged Ferrari, have been pretty good. AMG has its development eye on the year 2021, when EU regulations will include every car sold by Mercedes-Benz parent company Daimler when calculating fleet average emissions, and says that the deadline could mean a hybrid AMG by 2020. Those are the words of the company's R&D boss, Thomas Weber, to Autocar. Weber says a hybrid system right now wouldn't work only because AMG customers "wouldn't buy it." In five years, though, not only will the pressure have forced the situation, but the low-six-figure segment might also be populated by heresies like a diesel and hybrid Bentleys, and a hybrid or electric Porsche 911, to break the ice. Acceptance is coming down from the top via supercars like the McLaren P1 and Porsche 918, and up from the bottom with the near-term incorporation of electric turbos and e-boost systems. And whenever the German challengers to Tesla arrive, that will be another huge step to changing the public's mind. E-boost is what Weber said the division is looking at right now, perhaps like the kind in Mercedes' Bluetec Hybrid that employs an innocuous battery and motor. Regenerative braking would keep the battery charged. Weber said he likes it because it's proven, it's light, it's cheap, and it's already used in high-volume applications. But we would not be surprised to see a more robust implementation by the time 2020 gets here.

Mercedes-Benz to boost stake in Aston Martin to 20%, lend it some tech

Daimler unit Mercedes-Benz is to lift its stake in Britain's Aston Martin to up to 20% by 2023, making it one of the struggling British carmaker's largest shareholders, Aston said on Tuesday. Aston Martin, popular for being James Bond's carmaker of choice, has suffered a torrid time since it went public two years ago, with its shares losing two-thirds of their value this year. The 107-year-old firm hired Tobias Moers, former CEO of Mercedes-AMG, as its new boss from August. Aston said the increase in Mercedes-Benz's stake, from 2.6% currently, would take place in several stages as part of a wider issue of 250 million shares at 50 pence each. The stock issued to the German group will have a maximum value of 286 million pounds ($372.7 million), it said. The deal will see an existing supply agreement between the two firms, in place since 2013, expanded to give Aston Martin access to key Mercedes' technology, including hybrid and electric drive systems. "We take another major step forward as our long-term partnership with Mercedes-Benz AG moves to another level, with them becoming one of the company's largest shareholders," said Aston's chairman and biggest shareholder Lawrence Stroll. The German firm will get the right to nominate one non-executive director to Aston Martin's board after its first shareholding increase, the London-listed firm said. Aston, which has started deliveries of its first sport utility vehicle, the DBX, said on Tuesday it swung into an adjusted core loss of 29 million pounds in the third quarter, versus a profit of 43 million pounds last year. Revenue in the period nearly halved to 124 million pounds, it said. Aston Martin is targeting annual capex of 250 million pounds to 300 million pounds per year between 2021 and 2025. It envisages production volumes of about 10,000 units, revenues of about 2 billion pounds and adjusted core profit of 500 million pounds by financial years 2024 or 2025.

Mercedes widens luxury sales gap on strong early CLA demand

Mercedes-Benz CLA sales have been booming, with the Stuttgart-based manufacturer moving 2,300 of the sleek four-doors in its first week on sale. That is astonishing. Mercedes moved nearly twice as many CLAs (which start at $29,900) in one week than Jaguar, a brand that is on a very solid roll, sold in all of September. Ignoring the price differences between the Jag line and the CLA, that is still wildly impressive.
Mercedes has been pushing the CLA in television ads, using a shortened version of its Super Bowl spot, which starred William Dafoe, Usher and Kate Upton. "As the bargain entrance into the Mercedes portfolio, we weren't sure how luxury buyers would react," Kelly Blue Book auto analyst Alec Gutierrez told Bloomberg.
The CLA push was just part of MB's 6.7-percent increase in September sales, which were also helped along by a 17-percent jump in E-Class sales. That surge has allowed Mercedes to widen its 2013 sales lead over its rival, BMW, to 2,491 cars, according to Bloomberg. If CLA sales continue at this rate, we can only expect that margin to grow.