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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.

Bentley's first electric car will arrive in 2025 at the earliest

Now that it's back in the black, Bentley is busily planning its move into the electric car segment. The company's chief executive shed light on how his team will link the past and the future. When it comes to new products, company boss Adrian Hallmark told Automotive News Europe that "it's all about electrification." The first Bentley with a plug is the Bentayga Hybrid unveiled at the 2018 Geneva Motor Show. Looking ahead, an electric car will join the range, but executives haven't decided what form it will take, or what it will be powered by. Several options remain on the table. What's certain is that Bentley won't stuff an electric powertrain into one of the cars in its current portfolio. "We could take one of the existing nameplates, and that could be the first electric car, but we wouldn't take an existing car and try to fit batteries into it, because there's a compromise from a range and efficiency point of view," Hallmark explained. The challenge isn't simply to make an electric Bentley; the British firm wants to ensure its first battery-powered model credibly lives up to the badge on its nose. That means it needs to blend effortless power with an acceptable amount of driving range. Bentley is part of Volkswagen, so using one of the platforms in the group's growing arsenal of architectures isn't out of the question. And, Hallmark affirmed engineers will take advantage of the innovative packaging possibilities made possible by electric powertrains. He explained the firm isn't about to release a Mini, but an electric Bentley could have a smaller footprint than, say, a Mulsanne while offering a comparable amount of interior space. He cited the Jaguar I-Pace as an example, which he said is nearly 14 inches shorter than Land Rover's Range Rover, yet is about as spacious inside because electric motors require less space than a comparable gasoline- or diesel-burning engine. The trade-off is that an electric Bentley would need a sizable battery pack, and designers would likely have to put the car on stilts to leave enough room in the cabin for people and gear if they were to pen an electric car in 2020. Solid-state battery technology will solve that problem when it's ready for production, according to Hallmark, though he didn't reveal whether he's open to waiting for the new chemistry or if Bentley's first electric car will ship with a lithium-ion battery pack.

2019 Bentley Continental GT First Drive Review | A grand tourer learns to dance

The Austrian Alps are a curious venue to show off that great hunter of the highways, the Bentley Continental GT. With deep green forests and soaring thrusts of exposed rock, the Alps are one of those few places where the natural world still reigns supreme. Humanity isn't going to change this place much. You can forget about six-lane freeways blasted through rock — the only way to get around is on narrow, twin lanes. True to its name, the coupe is perhaps the truest grand touring car on the market — comfort happily married to speed. I once logged a personal best time between New York City and Boston in a base GT, despite a pounding nighttime rain. Even that miserable East Coast route felt easy in the GT, which eats through highway miles in a peculiarly relentless fashion. It was born for distance. This is our first drive of the new, third-generation car, which won't be sold in North America for another year, at a starting price of $214,600. We've been told it is a changed machine — a GT still, but with more nimbleness. And now we're about to find out, having left behind quaint Austrian villages for a steep mountain road that switchbacks up toward the clouds. It's everything you hope and dream when you fantasize about the Alps. Before me is a straightaway interrupted by a quick left-right bend and an uphill switchback. A small twist of hands on the nicely weighted steering wheel and the Bentley jukes through the left-right fluidly; no need to brush the brakes until we're right up to the hairpin. Then a firm push on the stoppers and a full lock of the steering wheel and — listen to that! — tire noise from the 21-inch Pirellis as we get back on the gas early. The car stays remarkably flat despite the camber of the turn. I snap open my hands and flat-foot the accelerator. Another hairpin beckons just beyond. And so it goes, the Conti welcoming a full-throated uphill attack. We get to the top and begin the fall back down the mountain, which is even more illuminating. This is the model with the W12 — the only one available at launch, notorious for carrying too much weight in its nose. Take a previous generation on a tight downhill route and you wrestle the grille through the turns, giving up entry speed to mitigate inevitable front-end push. It was a point-and-shoot car, relying on good brakes and ample power to make up lost time through the turns. This new generation is a momentum machine. There is a newfound rhythm and flow. It is deft and it is nimble.