2006 Audi A4 Quattro Sedan 4-door 2.0l on 2040-cars

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U.S. tariff threat hits European automakers' stocks

FRANKFURT, Germany — A U.S. warning that it may introduce tariffs on foreign auto imports hit shares in German carmakers BMW, Daimler and Volkswagen on Thursday, which together have a more than 90 percent share of North America's premium car market. Washington said on Wednesday it had launched an investigation into whether car and truck imports are a national security issue due to signs they had damaged the U.S. auto industry. That could lead to new U.S. tariffs — up to 25 percent — similar to those imposed on imported steel and aluminum in March. BMW and Daimler shares fell as much as 3.1 percent in early Thursday trading, while Volkswagen's dropped as much as 2.5 percent. "(U.S. President) Donald Trump is obviously not thinking about how to prevent a trade war. Import duties on cars would be a nightmare for the German auto industry and would lead to a massive sales impact," said Thomas Altmann at Frankfurt-based asset manager QC Partners. BMW on Thursday condemned the move to consider tariffs. "The BMW Group is committed to free trade worldwide. Barrier-free access to markets is therefore a key factor not only for our business model, but also for growth welfare and employment throughout the global economy," it said. Daimler, which makes Mercedes-Benz cars, and Volkswagen, which makes upmarket Audis and Porsches, were not immediately available for comment. German carmakers produced 804,000 cars at local factories in the United States and exported 657,000 German-made cars into North America last year, according to German auto industry association VDA. China took pains on Thursday to welcome German firms and investments, with Premier Li Keqiang talking up relations after a meeting with German Chancellor Angela Merkel. BMW and Mercedes have expanded production capacity in the United States, but BMW, Audi, Volkswagen and Daimler have also invested billions to build new factories in Mexico in the hope of selling locally produced cars into the United States. German carmakers hiked vehicle production in Mexico by 46 percent to 620,000 cars last year, while production levels inside the United States fell by 6 percent to 804,000 cars because of a shift to Mexico, according to the VDA. BMW has its biggest factory worldwide in Spartanburg, South Carolina, and is the largest vehicle exporter among all the carmakers in the United States measured by value of goods exported. More than 70 percent of BMW's U.S.-made cars are exported.

Audi's diesel-electric supercar is codenamed 'Scorpion'

Speculation continues as to the final nature of the diesel-hybrid Audi supercar said to arrive in 2016 or 2017. A previous report in Automobile had the halo coupe, based closely on the R18 etron quattro endurance racer, codenamed R20 and pegged to look like a Le Mans winner for the street with around 700 horsepower and 737 pound-feet of torque from a twin-turbo V6. Now Car and Driver has updated the gossip with a report that the car is internally called "Scorpion," and it will be even closer to the R18 than supposed.
CD says the heart of the car will use the R18 etron quattro's carbon fiber tub and its engine will be "taken directly" from the race car. That means a 3.7-liter V6 with a single turbo that, in ACO-spec restricted form, outputs 500 hp and 625 lb-ft - CD suspects production output could get to 600 hp - and drives the rear wheels, aided by hybrid motors driving the front wheels. And remember, at Le Mans the R18's hybrid motors can't kick in until they're above a certain speed in order to prevent Audi from getting an advantage coming out of slow corners. A street car wouldn't face that restriction.
The Scorpion would be a fulsome and undiluted example of the technologies Audi has created during its return to sports car racing. Its exterior design hasn't been finalized, with CD citing either the convoluted concept of "a retro take on the future of racing" or packaging that would adhere to the R18's looks. To make sure it is properly appreciated and sells well, production could be limited to the same 333 units as the R8 GT and A1 Quattro.

Audi A7 getting nip and tuck

It's been less than two years since the Audi A7 first went on sale in the US, but European buyers have been able to enjoy the sleek and stylish hatchback for twice as long. As such, Audi is preparing to give its A7 a mild refresh with tweaked exterior styling, but we're also expecting some of the features found in the all-new 2015 Audi A8 to possibly trickle down to the A7.
From what we can tell in these spy shots, the A7 is getting a minor facelift that includes a restyled front fascia and new headlights, which will likely boast Audi's new Matrix LED system. At the rear of the car, similar changes have been made with a fascia that now gets integrated outlets and different taillights that have a Lamborghini-like display.
Not apparent in these images - but still a good bet for production - we'd expect to see the new A7 get some of Audi's updated engines or new driver assist technologies. No definite word as to when we'll be seeing the refreshed A7 in person, but considering how close to production ready as this car seems to be, our bet is on the upcoming Geneva Motor Show.