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Recharge Wrap-up: Hyundai/Kia fined $755M for exaggerated MPG ratings; BMW dealers want more i8s

The fine against Hyundai and Kia has grown to $755 million for overstating fuel economy ratings. $360 million of that fine comes from the EPA for violation of the Clean Air Act: $100 million is a civil penalty, $210 million is a forfeiture of greenhouse gas credits and another $50 million will pay for independent fuel economy audits on future models. The remaining $395 million is a settlement for customers who purchased the affected vehicles. A slew of 2011 to 2013 models were found to have fuel economy ratings overstated by one to six miles per gallon. Customers will be awarded funds to offset the unexpected fuel costs or to put toward a new Hyundai or Kia vehicle. Read more at Hybrid Cars. BMW dealers are awaiting details on new dealership standards - and BMW i8 models for their showroom floors. According to BMW National Dealer Forum Chairman Steve Late, BMW dealers are anxiously waiting to see what sort of updates they'll need to do to get in line with BMW's Future Retail 2016 program. As for the new EVs, Late says that the BMW i3 sales were slow to start, but that once people learned more about it, "wham, bam, it is taking off." The i8 shortage is a bigger problem: "I was allocated three for 2014, and I have a waiting list of 47 people. This year, maybe I will get eight or 10, and I still won't be able to fulfill them." Still, Late says he won't sell the cars at an upcharge. Read more at Automotive News. Opel is reportedly planning an electric version of its Karl hatchback. According to German automotive magazine Autobild, Opel will begin selling the diminutive Karl EV by the end of 2018. The electric car will offer a driving range of about 93 miles. The gasoline-powered version is expected to begin deliveries this June. Read more at Automotive News Europe. PSA Peugeot Citroen says it will keep its Hybrid Air program alive as it looks for a cost-sharing partner. Hybrid Air technology uses a compressed air hybrid system to improve fuel economy as we saw in the Peugeot 208 Hybrid Air concept. A French newspaper reported that Hybrid Air won't make it to commercialization, and that the program's team of engineers has been reduced. A PSA spokesperson confirms the change to the program, saying, "We are now waiting for another partner to help us begin the production stage." Read more at Automotive News Europe. Related Video:

BMW names new chief for Mini

Mini is still transitioning models over to its new platform, and in the US market at least, the diminutive brand is dealing with a sales decrease of 15.6 percent in 2014. The low gas prices aren't helping either. But as of March 1, there's a new boss running the company across the world as Sebastian Mackensen (right) is promoted to the top spot from his current role as head of sales. Mackensen has been with Mini since October 2013, and according to Automotive News, before that he headed North and South American sales for Audi. Current brand boss, Jochen Goller is staying with BMW family and moving to China to take over as marketing chief for the BMW Brilliance joint venture. He had been the leader at Mini since 2013. Among several other personnel shifts, the BMW brand is also promoting Uwe Dreher to be its new head of marketing. He is currently in charge of those duties for the company in the Great Britain region. Personnel changes at MINI and BMW Group sales Munich . From 1 March 2015, Peter van Binsbergen will be Senior Vice-President, Sales and Marketing of BMW Group Germany. The 47-year-old mechanical engineer is currently Head of Sales and Marketing at the BMW Brilliance Joint Venture based in China. Mr van Binsbergen's career with the BMW Group began over 20 years ago when he assumed senior positions responsible for product planning, marketing and sales at BMW South Africa. He then moved to BMW Japan, where he was Director of Marketing, followed by a move to BMW Group headquarters in Munich, where he led the department responsible for sales channel development and the Group's "Future Retail" programme. Jochen Goller will move to China where he will take over an extended role with overall responsibility for Sales and Marketing at the BMW Brilliance Joint Venture in China. Mr Goller (48), who has headed up the MINI brand since 2013, already has experience when it comes to the Chinese market. During his 15-year career with the BMW Group, he was previously Head of Marketing at BMW China before returning to Europe, where he first took over responsibility for the MINI brand in Great Britain and Ireland ahead of moving to his current job. From 1 March 2015, Sebastian Mackensen will take on responsibility for the MINI brand. Mr Mackensen (43) joined the BMW Group in October 2013 as Head of MINI Sales.

Recharge Wrap-up: BMW tests AdBlue pumps, Drivr is a Tesla taxi service

BMW is testing AdBlue pumps in Germany. AdBlue fluid is used to remove NOx from diesel exhaust, and it is stored in its own tank within the vehicle. Filling AdBlue is easy enough for drivers to do it themselves, and with the proliferation of diesel vehicles in Europe, a pump filling system could make more sense than using the current hand-held containers. BMW is testing AdBlue pumps at three fueling stations in Munich and Berlin to help develop further AdBlue dispenser technology. Read more at Green Car Congress. Drivr Green Personal Transportation is a Tesla taxi service in Cincinnati. Two former employees of Tesla Motors founded the startup, which bills itself alongside ride-hailing services like Uber and Lyft. Customers book a ride online, and are picked up by a Tesla Model S. The ride costs $2.50 per mile with a $15 minimum. Drivr currently operates three cars with seven drivers, with plans to lease another 10 Teslas and employ up to 30 drivers. The service will also be expanding to Denver soon, according to the website. Learn more at the Drivr website, or read more at Clean Technica. Ford is opening a research and development facility in Silicon Valley. The Ford Research & Innovation Center, which will be located less than three miles from Tesla Motors headquarters in Palo Alto, California, is expected to be one of the automotive industry's largest R&D facilities. "We're driving to be both a product and a mobility company, and ultimately to change the way the world moves," says Ford CEO Mark Fields. Read more at Automotive News. Law firms advising Fisker Automotive have been denied a $2.50-million fee enhancement in the car company's bankruptcy. Brown Rudnick LLP and Saul Ewing LLP were denied the extra fees, as a Delaware bankruptcy judge ruled there is "no evidence" that the firms provided anything more than what they originally expected. In denying the fee enhancement, the judge cited a "very high bar" for such awards. Read more at Law360. Featured Gallery BMW Tests AdBlue Pumps in Germany Related Gallery Tesla Factory News Source: Green Car Congress, BMW, Clean Technica, Drivr, Automotive News Green BMW Fisker Ford Tesla Transportation Alternatives Diesel Vehicles Electric recharge wrapup

Lexus NX, BMW i3 to get Super Bowl commercials

At this point last year, we'd been getting news on automotive-focused Super Bowl commercials for more than two months. The teasers hadn't come out yet, but manufacturers lined up for the super-expensive spots were making their intentions known. This year? Almost nada, until this week. BMW has said it will air a 60-second spot promoting the i3 during the first quarter of the game, the Munich firm returning to The Big Game after a four-year absence. BMW says, "Big ideas like the BMW i3 take a little getting used to, and the creative idea surrounding our spot will play on this analogy." We say that pitching a tiny range-extended hatchback during the beer-iest American sports orgy of the year should make for some neat commentary afterward. Lexus is putting its new NX crossover in the second Super Bowl commercial it's ever aired, eschewing the glitter of celebrities and glamor for a straight-shooting spot and the tagline, "Be seen, be heard, make some noise." Joining those two are Kia, Mercedes-Benz, Nissan and Toyota. The six confirmed carmakers are down from eleven last year, when car spots made up a quarter of the total ad time. The price to do business for 30 seconds this year: reportedly around $4.5 million, up a stacks from last year's $4 million. You can watch the Lexus commercial in the video above, and beneath that, the BMW press release below has a bit more information on its effort. BMW to Advertise All-Electric BMW i3 during Super Bowl XLIX. The all-electric BMW i3 is featured in a 60-second spot during Super Bowl XLIX on Sunday, February 1, 2015. Woodcliff Lake, NJ – January 15, 2015... Today, BMW announced plans to feature the all-electric BMW i3 in a 60-second spot during Super Bowl XLIX on Sunday, February 1, 2015. After a 4-year hiatus, BMW will be returning to the big game with a commercial during the first quarter. "As one in three Americans will tune in to watch the Super Bowl, we are thrilled to use this platform to educate viewers on the importance of electric mobility," said Trudy Hardy, Vice President of Marketing, BMW of North America. "Big ideas like the BMW i3 take a little getting used to, and the creative idea surrounding our spot will play on this analogy." BMW i is BMW's forward-looking and sustainable brand dedicated to solving many of the mobility challenges faced by the world's most densely populated cities. The BMW i3 is the first of the BMW i vehicles constructed from the ground up primarily of carbon fiber.

2nd annual Automobile Advertising of the Year Awards revealed

There was some absolutely fantastic auto advertising in 2014, ranging from funny to inspiring. Marking the best of it from the past year, the Second Annual One Show Automobile Advertising of the Year Awards were announced during the 2015 Detroit Auto Show (full disclosure: Autoblog was among the award's sponsors, and Editor-in-Chief Sharon Carty was a voter). Unlike previously, there were no brands with dominance over the list this time. Presented by The One Club, the awards have an international scope and hand out honors in a variety of categories. In the Broadcast TV group, there were three winners this year. First, there was The Scripted Life from Audi for the Q3 about breaking out of life's monotony. Also, Dad's Sixth Sense from Hyundai marketed the safety features in the Genesis. Finally, Unbreakable Drivers showed manly men being tested for the Toyota Hilux in Australia. The Online Video prize went to the fantastic The Epic Split spot from Volvo Trucks starring Jean-Claude Van Damme. The best Interactive ad was the Honda video titled The Other Side for the Civic Type R, and the Experiential Advertising nod was for the Volkswagen Eyes on the Road clip that showed the dangers of texting and driving to a theater full of moviegoers in Hong Kong. Finally, the Public Choice Award went to the BMW commercial called Hello Future using the words of sci-fi author Arthur C. Clarke for the i8. In the award not for videos, Jeep won the Print/Outdoor category for its Upside Down campaign. Check the ads out below, which show different animals when upside down. Also, look farther down for all of the winning videos and read their full announcements. View 3 Photos Automobile Advertising of the Year Winners Announced New York, NY (January 13, 2015) – The One Club (www.oneclub.org), producers of the prestigious One Show Awards and Creative Week, today announced the winners for the 2nd Annual One Show Automobile Advertising of the Year Awards. In partnership with the North American International Auto Show (www.naias.com) in Detroit, The One Club today unveiled the best automotive ads from around the world in five categories: broadcast TV, online video, interactive, experiential advertising, and print & outdoor. Winners will be presented on-stage at a special event during the NAIAS Press Preview on Tuesday, January 13, 2015, at the Cobo Center in Detroit at 4:55 p.m. The event is sponsored by AOL's Autoblog.

Automakers paying Chinese dealers for lower-than-expected sales

The Chinese dealers vs. foreign manufacturers story won't quit. It began with a story on the struggles faced by FAW-Toyota joint venture dealers, with supposedly 95 percent of the showrooms losing money, and 10 percent of them doing so poorly that they'd have to exit the business. The problem is mandated sales targets, most set when the country's economy was racing. Now that things have slowed, China's dealers are swimming in unsold cars and the costs to keep them. In the case of FAW-Toyota, dealers asked Toyota to hand over 2.2 billion yuan ($355 million) to help address the situation. That was followed by a report noting the issues that Honda, BMW, and Nissan dealers are having with the same issue, revealing that the Chinese Automobile Dealers Association (CADA) had taken the highly unusual step of writing to the Chinese government to complain. Now Reuters reports that CADA is not only pressing its case even harder, it's being open about it: it announced that BMW agreed to pay dealers 5.1 billion yuan ($820 million) to alleviate poor profits last year. Unnamed sources said Audi has thrown 2 billion yuan into the kitty for subsidies, and Daimler has contributed "about 1 billion yuan" to its dealers. The battle isn't just about 2014, but how business will be run in 2015 as well: Chinese Porsche dealers have requested the automaker lower its 2015 target of 64,000 cars, which would be a 40-percent increase on its 2014 sales of 46,931 vehicles. One analyst called it "shocking" that the CADA has taken its fight public, while CADA comments continue to imply that dealers have been railroaded to the cliff's edge without recourse. "Due to the difference in status," it's deputy secretary said, "individual dealers are not willing to, or don't dare to, talk frankly with the carmakers...." Both parties need one another, so they'll figure out a way to make it work – but that could mean acknowledging the Chinese market is behaving more like a mature one, not an emerging one. News Source: ReutersImage Credit: Lintao Zhang/Getty Images Earnings/Financials Audi BMW Porsche Toyota Car Dealers Luxury

BMW reclaims US luxury sales crown from Mercedes

The numbers, they are in: BMW has reclaimed the luxury-sales crown from Mercedes by a margin of 9,347 cars. Mercedes donned the king's headgear in 2013 after a strong final quarter of 2013 when the new CLA and S-Class poured out of dealerships. This year, led by the 3 Series/4 Series and X5, BMW sold 339,738 units – a 9.8-percent increase year-on-year. Mercedes, led by the C-Class and M-Class, saw its sales go up by 5.7 percent to 330,391 units. We'll have to wait a bit to see if there's another registrations-vs-sales challenge as in 2012, when BMW was anointed US luxury ruler. Behind them, a dark horse named Lexus nudged closer to the leading Teutons, selling 311,389 cars. The Japanese luxury automaker also had the biggest gain among the top three, its sales rising by 13.7 percent compared to 2013. Audi had the biggest sales of anyone among the top five, though, with a 15.2-percent gain to 182,011, which moved it a spot ahead of Cadillac; the Wreath-and-Crest brand dropped 6.5 percent to 170,750. Acura (167,843), Infiniti (117,300), and Lincoln (94,474) took the final positions. Speaking of Lincoln, sales at the once-mighty luxury marque stand as the mightiest jump of any on this list, up 15.6 percent. That's the power of Matthew McConaughey... and better cars and a new crossover, sure. So now that we're back to Round One of 2015, in case no one else has said it yet: "Ok, fight!"

Reverse-engineering i3 shows BMW profits after 20,000 sales

"This is, without a question of a doubt, the most advanced vehicle on the planet. It's as revolutionary as the Model T was when it came out." That is exceptionally high praise, and it's not even being heaped on one of the million-dollar hybrid hypercars from Ferrari or McLaren. It's not even being attributed to a particularly zealous Tesla fan. Nope, it's coming from a mustachioed man in suburban Detroit, and he's discussing a $42,400 BMW hatchback with Forbes. Of course, said hatchback is the revolutionary i3, and Sandy Munro's statements carry some degree of authority, as his company is tearing apart and analyzing every little nut, washer and bolt on the four-seat EV. Munro's eponymous company performs reverse-engineering analysis, meaning they rip apart brand new cars and sell the information to the world's automakers, saving OEM's both time and money. The most interesting thing it has discovered thus far? That even with the high costs of two of the i3's most important elements – carbon-fiber-reinforced plastic and lithium-ion batteries – his company's analysis shows that BMW need only sell about 20,000 units a year to turn a profit, Forbes reports. While Munro's company is often contracted by automakers, he's gone it alone on the i3 project, dropping about $1 million into in-depth analysis. That's a lot of money, but the company should be able to turn around and sell its findings for about $500,000, with a batch of Chinese automakers already queued up and ready to buy. Analysis of individual i3 components will also be available from a sort of a la carte menu. To see what it is about the i3 that has Munro speaking so highly of it, head over to the Forbes website and check out the feature article and video on the reverse-engineering process. Featured Gallery 2014 BMW i3: First Drive View 33 Photos News Source: ForbesImage Credit: Copyright 2015 Sebastian Blanco / AOL Green BMW Hatchback Electric Sandy Munro

2015 BMW X4 xDrive28i

When BMW unveiled the X6 back in 2008, critical reviews were mixed, to say the least. By all accounts, the heavyweight crossover actually drove quite well, but the idea of a BMW X5 that traded a lot of functionality for polarizing looks and a higher price tag seemed like a tough sell. Then it went on sale and quickly proved to be a cash cow. Today, the German brand has moved over a quarter million of the things worldwide. Unsurprisingly, this success has moved BMW to double down on its so-called Sport Activity Coupe by adding a smaller variant. The all-new X4, while not a bad steer in and of itself, makes even less sense than its big brother, particularly when viewed alongside BMW's other offerings. Like the X6 and X5, the X4 borrows heavily from another of the brand's utility vehicles, in this case, the less-costly X3. Also like the X6, this new crossover-coupe's styling is sure to cause a schism among critics and consumers alike. You can probably guess where the majority of the Autoblog camp falls. To be totally frank, the exterior of the X4 is simply ghastly to this writer, particularly in this tester's eye-catching paint. Admittedly – and much like the X6 – there's not much objectionable from the A-pillar forward, where the X4 has a lot in common with the X3. It's only once moving towards the rear that things well and truly go wrong. There's just so much visual mass, and it's been made worse by the way BMW designers wussed out. Bear with me. Compare the profile of the X6 with the X4, and pay particular attention to the roofline on the bigger vehicle. The angle of the roofline is noticeably more dramatic on the X6, which comes at the expense of second-row headroom (an oft-criticized area for the big boy). For the X4, designers tried to have their cake and eat it too, maintaining second-row headroom but with a coupe-like profile. The result is an X4 that is bulbous and uncouth from the B-pillar back, more hunchbacked Gran Turismo than svelte Gran Coupe. BMW might have been better served if its exterior work had followed the stylings of the cabin, which is more or less a clone of what's on offer in the X3. Material quality is still great, with soft-touch plastics and available cool-to-the-touch brushed aluminum throughout. I really dug the Ivory White Nevada leather and contrast red stitching on this test vehicle, as it provided an eye-pleasing departure from the sea of blacks, grays and tans so typical of the luxury crossover market.

BMW mulling potential 9 Series production

Nine months may be long enough to bring another human being into the world, but it may take BMW a bit longer to make up its mind on the production of a potential 9 Series model. The idea was first mooted when the Bavarian automaker presented the Vision Future Luxury concept at the Beijing Motor Show last year. Billed (not unlike rival Audi's Prologue concept) more as a design study than a pre-production concept, the Vision Future Luxury show car nevertheless took a larger form than the 7 Series, prompting speculation that a new flagship sedan could be in the works. The better part of a year later, such a decision has reportedly yet to be taken, but over at BMW Blog they're reporting that the automaker's incoming chief executive Harald Kruger is a fan of the idea and could give it the green light after he takes the helm in May. If approved, the model likely to be dubbed 9 Series would reportedly compete with the Mercedes-Maybach S600 – but then that model was earmarked to take on the Rolls-Royce Ghost. BMW has typically been careful not to overlap with its Rolls-Royce division, but considering how it's also been going downmarket with front-drive models to close the gap to the Mini brand, we wouldn't be all that surprised to see the 9 Series positioned maybe just below the next-generation Ghost and developed alongside it, taking a page out of rival VW's playbook. Volkswagen has, after all, made a brisk business out of sharing platforms and slicing market segments between the various brands under its umbrella. And while BMW is nowhere near as large, its new leadership could find new ways to increase its market share.