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Why BMWs are cheaper than Hyundais in Korea

Bloomberg reports shifting tariff regulations have upended the traditional automotive pecking order in Korea. Thanks to cheaper import taxes, foreign brands have seen market share jump from 28 percent to 41 percent over the last two years. BMW, Mercedes-Benz and Audi have all capitalized on the shift, with domestics like Hyundai and Kia suffering at the hands of their German rivals.
Taxes on European imports have fallen from 8 percent in 2011 to just 3.2 percent today. Over the next few years, tariffs will all but be eliminated for most imports, and taxes on US-made vehicles are expected to fall to just 4 percent in 2014. By 2016, that number will be zero. Needless to say, Hyundai and Kia are concerned about the shift.
Hyundai has seen profit fall by 15 percent last quarter, and the company says it is on pace to see the slowest sales growth since 2007. The company's shares have fallen by 12 percent. In order to stem the losses, Hyundai has discounted its midsize sedans and started working on diesel engine options.

2015 BMW 228i Convertible

BMW history is littered with small, four-seater convertibles that offer style, spirited performance and driving flexibility. These days it's the 2 Series range, not the 1 or the 3, that carries on the droptop-driver's-car tradition, and the 2015 228i Convertible will the first flavor of it to hit US shores. With prices starting in the upper $30k range, conservative but attractive exterior styling and just enough interior comforts and amenities to feel like a true-luxury player, the 228i makes a strong initial case for itself as either a first or second vehicle. Concurrent with my First Drive of the 2015 BMW X6 M, the Germans brought along their new 2 for testing along some pretty mellow Texas driving routes outside of Austin. With roads that ranged from sweeping country lanes to small town streets, and weather changing handily from cold and misty to bright and warm, I got a good sample of what the new open-top 2 can do. Drive Notes I'll admit to getting behind the wheel of the 228i convertible with a bit of a bias: the old 1 Series line, including the droptop, was amongst my favorite BMW models in years. In terms of overall character, this 2 Series has mellowed a lot versus the chuckable, cheerful 1er. The steering response isn't quite so whip-fast, and the longer wheelbase means it's less willing to rotate overall. Of course, the 2, especially in convertible form, does feel better suited for the stereotypical small, premium convertible driver, too. Ride quality over our mostly smooth-road drive route was placid and controlled, and steering still felt steady and weighty on center and with lock added in. The car also offers really well-sorted protection from wind buffeting and noise, both with the top raised and lowered. I drove topless on the highway and on surface streets, and was impressed at how cozy I felt with the wind deflector erected and the windows up. Cold-weather convertiblers should do well with this BMW (especially when the xDrive AWD car launches, later in the year). Erect the folding soft top – a feature that's available at speeds up to 30 miles per hour – and the NVH experience is transformed. BMW says that the top-up wind noise has been reduced "by half" versus the 1 Series – a fact that I had no trouble believing after the first few seconds. Wind rush is basically eliminated with the roof raised, and the car becomes a downright conversational space thusly set up.

BMW says 80 percent of i3 plug-in EV buyers come from other brands

BMW is feeling continued good vibes from its recently launched i sub-brand of plug-in vehicles. The German automaker, which started selling its i3 battery-electric vehicle in Europe late last year, is finding better-than-expected demand for both the i3 and the i8 plug-in hybrid, Automotive News Europe says, citing an interview with BMW executive Ian Robertson. The i3 is attracting a lot of new blood, too. Robertson said about 80 percent of new i3 owners were not previously Ultimate Driving Machine loyalists, indicating the curiosity factor for the company's new plug-in models runs high, Robertson says. BMW has sold more than 3,000 i3 vehicles since debuting the model in Europe last November. In April, the company boosted daily production of the i3 from its German factory to about 100 units from 70. Read more from Robertson here. Europe's largest markets for the i3 are the UK, Germany and Norway. In the US, BMW sold 336 i3 vehicles in May, its first month of sales here. The i3 was recently rated to go 81 miles on a single charge when it has an electric engine only. When equipped with gas-powered range-extender, the car can go 72 miles on a single charge and another 78 on gas. Check here for our First Drive impressions of the i3.