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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.

Red Bull and Aston Martin are working together on a supercar

Ever since Adrian Newey stepped back from the day-to-day at Red Bull Racing last year, we've been wondering what he would do next. And here we very well may have the answer. According to Autocar, the legendary F1 engineer is working on a hardcore, track-focused supercar for Aston Martin. Details are few and far between, but it is believed that the project could make use of a Mercedes engine and take aim at the likes of the Ferrari FXX K and McLaren P1 GTR. That's more or less the same territory Aston is already going after with the Vulcan (pictured), but just how closely aligned the two vehicles would be remains unclear. Newey is said to be keen on making the vehicle road-legal, however – something which the FXX K, P1 GTR, and Vulcan are not. The news comes hot on the heels of an earlier report that indicated Aston Martin and Red Bull were in discussions over a potential partnership in F1 (together with Mercedes). Both developments appear to be stemming from the same rapprochement between the two outfits, but are said to be independent of one another in that one could go ahead without the other. It is just one of several projects, however, that Newey is said to be evaluating in his capacity as head of Red Bull Technologies. It would not be the first time we would see a high-end automaker team up with an F1 team to create a supercar, after all. McLaren built the SLR for Mercedes before going it alone, and Jaguar more recently collaborated closely with Williams Advanced Engineering on the C-X75 concept, an experimental supercar project that was unfortunately aborted prior to reaching production. We'll be watching and hoping to see how the Aston Martin/Red Bull partnership pans out.

Rare 1958 Aston to be auctioned in Tennessee

Decaying Aston Martins are showing up on the auction block all over the world. The final, original DBS recently went up for bid in the UK, and to go up for sale on the other side of the Atlantic, a 1958 DB Mark III was recently found wasting away in a Tennessee garage. "I didn't know much about it, except it was old and worth some money," said owner Tammy Maxwell to Clarksville Now. Her husband bought the Aston in Hawaii in 1975 and carried the car along with him until the family settled in Tennessee. He originally intended to restore it but an illness got in the way. Now, the vintage coupe is crossing the auction block in Cumberland Furnace, TN, on April 11 through Auction World Gallery. This example is in very rough shape, though. The paint and trim are gone from the entire front end, and the interior is a rat's nest of parts. There's no mention of whether the powertrain is intact, although a crankshaft is visible sitting in the boot and possibly a carb on the passenger seat. It's going to be a big project to get this Mark III back on the road. According to Aston Martin, the company built just 552 examples of the DB Mark III, and 462 of them were the coupe body style shown here that featured a hatchback. Power came from a 2.9-liter inline-six routed through a four-speed manual gearbox. The car also grabbed a unique footnote in pop culture history as James Bond's car in the book Goldfinger, rather than the DB5 in the film version.