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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.

McLaren, Honda confirm F1 divorce, coupling with new partners

The news broke recently that McLaren F1 and its engine partner Honda would split ways after the 2017 season. Neither party commented the news initially, but there is now a confirmation from both sides. In addition, McLaren confirmed today that they will be using Renault engines for the next three F1 seasons. This will be the first time that a McLaren Renault F1 car will compete. McLaren's Executive Chairman Shaikh Mohammed bin Essa Al Khalifa praised Honda in his statement, while acknowledging that the 2015-2017 joint venture hasn't been successful enough: "Although our partnership has not produced the desired success, that does not diminish the great history our two companies have enjoyed together, nor our continued efforts to achieve success in Formula 1. At this point in time, it is in the best interests of both companies that we pursue our racing ambitions separately." Zak Brown, McLaren's Executive Director echoed that statement, adding that "It is certainly not for the want of effort on the part of either Honda or McLaren," and that the company hopes to see Honda get back to the top. At the moment McLaren has achieved 11 points and ninth place in the standings, with Honda power. Regarding Renault, Brown said, "Today's announcement gives us the stability we need to move ahead with our chassis and technical program for 2018 without any further hesitation." This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. As for Honda, they announced today that an agreement was reached on providing engines for Scuderia Toro Rosso for the 2018 season. As Honda's president Takahiro Hachigo said, "Toro Rosso is an experienced team with a youthful energy and history of nurturing the stars of the future. Everyone at Honda is looking forward to working with Toro Rosso." About McLaren, Hachigo said, "Honda will continue the fight together with McLaren all the way to the end of the 2017 season, and then continue its F1 racing activities in 2018 and beyond." Related Video: News Source: Honda, Formula 1Image Credit: Xavier Bonilla/NurPhoto via Getty Images Motorsports Honda McLaren Renault Racing Vehicles F1 toro rosso renault sport scuderia toro rosso takahiro hachigo

Automakers teaming with Google to bring Android to cars this year

Remember how we mentioned that Hyundai would be offering a BlueLink infotainment app for Google Glass? And how last week, we told you about a rumored partnership between Audi and Google? Well, both of these things were just part of a much bigger deal.
Google has teamed up with Audi, General Motors, Hyundai and Honda to form the Open Automotive Alliance. With the help of chipmaker NVIDIA, the group aims to bring Google's Android operating system to the auto industry on a large scale. While the speed with which Android will be adopted by the industry remains unclear - the OAA's own press release says "timing for each automaker will vary" - we could see the first Android-equipped vehicle by year's end.
For those that keep their ear to the ground in the automotive tech world, this is a big deal for more than just one reason - Honda, GM and Hyundai are all partners in the Siri Eyes Free program from Apple. The future of that relationship now that three of its automakers are in bed with Apple's arch-rival, though, could be under threat.