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NHTSA slaps BMW with $40M fine for slow Mini recall

BMW is on the hook for a $40-million fine after the National Highway Traffic Safety Administration slapped the automaker over not recalling Minis that failed to meet minimum side-impact crash standards. The civil penalty from NHTSA concerns 2014 and 2015 Mini Cooper hatchback models that "failed a crash test designed to determine whether the vehicle met crash-protection minimums," the government agency said in a press release issued this week. An October 2014 test revealed the first problem, and the Mini was subsequently retested in July, only to fail again and finally prompt a recall of more than 30,000 cars. But according to NHTSA's investigation that was opened in October, BMW waited too long to issue a recall after it knew the cars did not meet standards and bring them into compliance with more energy-absorbing materials installed by Mini dealers. This is the second time NHTSA slapped BMW with a major penalty, following a $3-million fine back in 2012 failing to report recalls of its cars and motorcycles. "For the second time in three years, BMW has been penalized for failing to meet that obligation," NHTSA Administrator Mark Rosekind said in the release. "The company must take this opportunity to reform its procedures and its culture to put safety where it belongs: at the top of its priority list." In a separate release issued this week, BMW Group said it, "is committed to further improving its recall processes to better serve its customers," and that the company, "respects the role of NHTSA and looks forward to working with them to develop solutions for the future." National Highway Traffic Safety Administration fines BMW $40 million for failing to meet safety requirements Fine is auto company's second since 2012 WASHINGTON – The U.S. Department of Transportation's National Highway Traffic Safety Administration has imposed a $40 million civil penalty and a series of performance requirements to automaker BMW North America for a series of violations of the Motor Vehicle Safety Act and NHTSA regulations. Under terms of a Consent Order issued to BMW, the company acknowledges that it violated requirements to issue a timely recall of vehicles that did not comply with minimum crash protection standards, to notify owners of recalls in a timely fashion, and to provide accurate information about its recalls to NHTSA. NHTSA imposed a $3 million civil penalty to BMW in 2012 for similar violations.

BMW confirms limited i3 Electronaut Edition, says i5* is in development [UPDATE]

Jacob Harb, head of electric vehicle operations and strategy for BMW, is excited these days. He's got a lot to sort out as the company's first large-scale production electric vehicle, the i3. Extending Electronaut leases, arranging tens of thousands of EV test drives and making sure there will be enough of the little city cars in the US when customer deliveries will start in May. Oh, and he's already working on the next BMW EV, which we think is likely to be the i5. During the Detroit Auto Show this week, Harb declined to name the model (surprise) but he did tell AutoblogGreen, "You can probably take an educated guess at the next thought process, something a little bigger, maybe a little more range, relative to the i3. We've got everything trademarked and we're exploring the best, next iteration. It is coming. It's in development now." [See update below.] An i5 has been rumored for years, but Harb said he's flying to Munich next week to "start the discussions further" on BMW's next-gen EVs. The Electronaut Edition i3 is "a thank you to them for being part of this broad journey with us" - BMW's Jacob Harb But there's much more to do, given the upcoming i3 launch. For one thing, leases for the first participants in BMW's Active E electronaut program - which started in January 20121 - will end in the next week or so, and those who want to get an i3 – and an "overwhelming majority" have said they are interested - may get their leases extended so they don't have to revert back to a gas car in the meantime. BMW dealers will be able to start ordering the i3 in "the next few days" and the Active E Electronauts will get the first of those cars off the production line, "as a thank you to them for being part of this broad journey with us," Harb said. There will also be a special Electronaut Edition of the i3, that will be upgraded from the standard i3 at not cost. Harb wouldn't say what's different, just that the "options and features" will serve to identify the car from the outside. It will be "as unique and compelling as possible," he said, with details coming in the next few weeks. The i3 is already on sale in Europe, the company won't start making US-bound vehicles until March. Since there are no official i3 orders in the system yet, Harb didn't know exactly what the split will be between pure EV and the range extender version, but that his estimate is 50/50. He also wouldn't talk about production numbers, but did say that.

Child cobalt miners: Automakers pledge ethical minerals sourcing for EVs

BERLIN - Leading carmakers including Volkswagen and Toyota pledged on Wednesday to uphold ethical and socially responsible standards in their purchases of minerals for an expected boom in electric vehicle production. Demand for minerals such as cobalt, graphite and lithium is forecast to soar in the coming years as governments crack down on vehicle pollution and carmakers step up their investments in electric models. To cover its plans for more than 80 new models by 2025, Volkswagen alone is looking for partners in China, Europe and North America to provide battery cells and related technology worth more than 50 billion euros ($59 billion). Talks with major cobalt producers, including Glencore, at VW's Wolfsburg headquarters last week ended without a deal. More than half of the world's cobalt comes from the Democratic Republic of Congo, a country racked by political instability and legal opacity, and where child labor is used in mines. On Wednesday, a group of 10 leading passenger-car and truck manufacturers announced an initiative to jointly identify and address ethical, environmental, human and labor rights issues in raw materials sourcing. The partnership dubbed "Drive Sustainability" consists of VW, Toyota Motor Europe, Ford, Daimler, BMW, Honda, Jaguar Land Rover, Volvo Cars and truckmakers Scania and Volvo. The alliance "will assess the risks posed by the top raw materials (such as mica, cobalt, rubber and leather) in the automotive sector," said Stefan Crets of the CSR Europe business network. "This will allow Drive Sustainability to identify the most impactful activities to pursue" to address issues within the supply chain.Reporting by Andreas Cremer.Related Video: Image Credit: Michael Robinson Chavez/The Washington Post via Getty Images Green BMW Ford Honda Jaguar Land Rover Mercedes-Benz Automakers Toyota Volkswagen Volvo Green Automakers Green Culture Electric Scania ethics mining