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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 considering diesel engine for new SUV

Turns out, in case you didn't know, the rich are just like regular people. They too are concerned about the environment, even when tooling around town in their super-luxurious Bentleys. So the automaker is weighing the idea of offering a diesel engine in its SUV offering, which could help satisfy customers' demands for more fuel-efficient engines.
Chairman and CEO Wolfgang Schreiber told Autoblog in a roundtable interview at the Geneva Auto Show that the automaker is researching whether or not a diesel engine makes sense for the brand. Bentley, owned by the Volkswagen Group, could in theory use a diesel engine from anywhere in the Volkswagen Group family. We at Autoblog have hopes they'll revive the V10 TDI used in the VW Touareg until 2010, but ever-stricter emissions laws would likely make that problematic.
But rich people aren't so much like us that they'll be worried about petty things like pricing. Schreiber admitted the diesel engine could be a $15,000 option, which he said customers would probably find "acceptable." Given that the cheapest Bentley today starts at $177,000, typical customers probably won't be diddling around worrying about an extra 15 grand.

Bentley Azure could return for limited edition

Once upon a time, Bentley had two convertibles in its lineup – there was the Continental GTC, which you can still enjoy today, and the Azure, which you can't. The bigger offering, based on the Arnage sedan, went out of production several years back, much to the disappointment of those with ostentatious tastes and bottomless pockets. But if Wolfgang Durheimer has his way, the 20-plus-year-old nameplate could return in a limited run based on the Mulsanne. The last Azure demanded ridiculous wealth to purchase, but this new model would be on an entirely different level. According to Car and Driver, Durheimer said a reborn Azure "would be built in [a batch of] 20 units and sold to absolute connoisseurs at a very high price." He stopped short of actually confirming the vehicle or its cost, but that hasn't stopped Car and Driver from suggesting a price of $1 to $1.5 million per vehicle. The timing here is fascinating, largely because Bentley's arch-rival, Rolls-Royce, is preparing to phase out its Phantom Drophead Coupe – the Mulsanne Convertible's most natural rival – due to slow sales. Whatever this limited-edition vehicle is called, it'd be all on its own. This is not the first time this particular rumor has cropped up. In his first tour as Bentley CEO, Durheimer brought a full-size convertible, called the Mulsanne Vision (shown above) to Pebble Beach in 2012. The idea was shelved by his successor, Wolfgang Schreiber, in 2013. But with Durheimer back in his old position in Crewe (and heading up efforts at Bugatti, too), it wasn't long before Bentley was back in the convertible Mulsanne game with the Grand Convertible, a Speed-based droptop. When the Grand Convertible debuted, we said the company is "watching customer reaction to the car." And the press release says the luxury droptop was "developed to signify Bentley's intentions for the future." Consider this most recent story a reinforcement of that report, then. News Source: Car and DriverImage Credit: Bentley Bentley Convertible Luxury Performance wolfgang durheimer bentley azure bentley grand convertible