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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.

'Top Gear' episode 4 recap | A road trip through Borneo

Episode four of "Top Gear" season 27 is officially in the books, and if you like Freddie and Paddy, you probably enjoyed this one. The two went on a hell of an adventure through Borneo, but didn’t bring Chris Harris along for the ride. Maybe we were just getting accustomed to the three of them hanging out together, but the trip felt like it was missing something without Chris. Regardless, the feature film of this episode revolved around Freddie and Paddy driving the cheapest, rarest cars they could find. They bought them in Europe, then drove all throughout the island of Borneo, eventually reaching Brunei. Freddie got himself an Austin Allegro Estate, while Paddy made do with a Matra Bagheera S. If you had to look those cars up, we donÂ’t blame you. TheyÂ’re both rather obscure models, so itÂ’s safe to say they hit their mark on the rare requirement. Back at home base in England, Chris says he was reviewing a Rolls-Royce Cullinan. Funnily enough, Rolls wouldnÂ’t loan a Cullinan to "Top Gear" to test, so they had to go out and borrow one for the review. After listening to ChrisÂ’ thoughts on the SUV, it starts to become clear why Rolls may not have wanted the exposure. We wonÂ’t give it all away, but letÂ’s just say that the ultra-luxury ute didnÂ’t receive the most glowing of reviews. Bob Mortimer was the celebrity guest, so there were plenty of laughs to be had in his segment. He wasnÂ’t exactly fast in any of the car challenges, but the entertainment factor was certainly present with him cracking jokes. Even though the Borneo trip wasnÂ’t exactly the same without Chris, the other two managed quite well on their own. Freddie ate a live bug, and the mid-engine Matra made it to the end against all odds. Perhaps itÂ’s a testament to the companyÂ’s history of weathering tough conditions — Matra did win Le Mans three times throughout its history after all. At the very end of the episode, the boys made an admirable gesture by speaking out against the Sultan of BruneiÂ’s horrific laws against homosexual relations. They said that the filming for the episode occurred before the Sultan announced the new laws, and if "Top Gear" had known these rules would be enacted beforehand, they wouldnÂ’t have featured Borneo in their film. In response, Freddie and Paddy modified their Borneo rides with an epic paint job as a form of protesting the anti-gay laws. Good on ya, "Top Gear." Featured Gallery Top Gear episode 4 photos TV/Movies Rolls-Royce Top Gear

Rolls-Royce gives up on electric, diesel models in favor of hybrid

Rolls-Royce is not what you might characterize as one of the greenest automakers on the market. Its vehicles tend to be rather large, saddled with lots of plush leather, thick carpets and wood trim, and powered by twelve-cylinder engines in excess of six and a half liters. But that doesn't mean that the stoic British automaker isn't trying to clean up its act, even if its customers haven't responded in kind. Rolls did not receive a single order for the all-electric Phantom. A few years ago, Rolls-Royce showcased an all-electric Phantom prototype called the 102EX (pictured above) and sent it on a global tour to demonstrate to customers around the world. But in speaking to company representatives, Autocar reports that Rolls did not receive a single order for such a vehicle. Nor did customers respond favorably to the idea of a diesel Rolls-Royce. Prospective and existing clients exhibited "significant hostility" towards the idea, despite a diesel prototype that was "effectively inaudible" in comparison to the existing gasoline models while delivering torque-driven performance which the company characterized as "impressive" while significantly reducing carbon emissions. As a result, the diesel project was killed off just like the electric one. That doesn't mean that Rolls-Royce is giving up, though. In the wake of the diesel and electric projects, Goodwood is reportedly proceeding with a hybrid powertrain borrowed from parent company BMW, which offers a wide array of hybrids including versions of 3 Series, 5 Series and 7 Series sedans, the X6 crossover and the i3 and i8 PHEVs.