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Infiniti is pulling out of Western Europe, cutting models

BEIJING — Nissan's premium brand Infiniti has announced it will exit Western Europe early next year, as it restructures its global operations and focuses on the world's top two auto markets. Infiniti said it will discontinue the Q30 sedan and the QX30 sport-utility vehicle and cease their production by the middle of 2019 at Nissan's manufacturing factory in Sunderland, England. Both models are sold globally but produced only in Britain. The QX30 is sold in the United States. The move comes as Infiniti seeks to divert its resources to markets with bigger opportunities, such as China and the United States, from a region where non-European premium brands are struggling to compete against local players such as Audi, BMW and Mercedes-Benz. Nissan also recently scrapped plans to build its new X-Trail SUV in Britain amid the uncertainty surrounding Brexit, saying it had taken the decision to optimize its investments by building the next generation model in Japan. "Western Europe remains the most challenging and competitive region for premium cars," Infiniti's chief spokesman, Trevor Hale, told Reuters. Infiniti's sales in western Europe almost halved last year to 5,800 vehicles. In addition to the tough competition, the Japanese premium brand, headquartered in Hong Kong since 2012, has struggled to effectively meet emissions and other regulatory requirements in the region, Hale said, referring to stringent Euro 6 emissions requirements and other regulatory challenges. "The commercial reality for Infiniti in Western Europe is that there is simply no visibility of a viable and sustainable business, especially given the regulatory challenges," he said. Infiniti said an exit from Western Europe will allow it to focus on its initiative to electrify a good portion of its product portfolio from 2021 and discontinue diesel offerings. The brand plans to focus more on its SUV lineup in North America, bring five new or significantly-redesigned vehicles to China over the next five years, improve quality of sales and residual value and realize more synergies with Nissan. "This is all part of Infiniti's vision to become a top challenger brand in the premium segment," it said. As it prepares to withdraw from Western Europe, Infiniti said it is working to find alternative opportunities for employees who would be affected, consulting with employee representatives where necessary and identifying opportunities for transition and training support where appropriate.

Infiniti Q30 is the company's first small hatchback

Well, here it is. Despite every attempt to show us the car via teasers, Infiniti has made it to the week of the Frankfurt Motor Show before introducing the all-new Q30, the company's version of the jointly developed Mercedes-Benz A-Class hatchback and the first compact from the Nissan-owned luxury marque. The Q30 will be available with a wide and varied array of gas and diesel powertrains for its appearances in other markets. There will be two 1.6-liter gas engines, in 120-horsepower and 154-hp varieties, and two diesels. The oil-burners, which will not be coming to the US, displace 1.5 liters and 2.2 liters, respectively. As for North America, the Q30 will follow in the footsteps of its Mercedes cousins, the CLA- and GLA-Class, and offer a single 2.0-liter, turbocharged four-cylinder with 208 horsepower and 258 pound-feet of torque. Although it displaces just as much as the CLA's 2.0-liter turbo and matches that car's output, enthusiasts will appreciate the six-speed manual transmission being offered alongside the Mercedes seven-speed, dual-clutch automatic. Say what you will about its Mercedes roots, but Infiniti's decision to offer a six-speed stick here in the US should be respected. The specific set of drive wheels isn't mentioned, although if the A-, CLA-, and GLA-Class are any indication, the Q30 will offer standard front-wheel drive and optional all-wheel drive. That's speculation on our part, but it's a logical assumption. The Q30 has retained the A-Class' front McPherson struts and rear multi-link suspension arrangement. But while it uses an identical design, Infiniti has tuned the shocks to its own specification. Depending on trim, the Q30 will ride on either 18- or 19-inch wheels. Speaking of those trims, there are three of them. The base trim is, um, basic – Infiniti spilled very little ink on the entry level model. In fact, aside from a few simple descriptions, equipment details on the other two trims are quite scarce. Choosing the Premium line will net you unique 18-inch wheels, LED fog lamps, heated door mirrors with body color housings, and twin chrome exhausts. The Sport brings a bit more to the table, making a functional change by lowering the ride height by 0.6 inches and fitting 19-inch alloys. Gloss black and dark chrome accents on the more aggressive front and rear fascias round out the exterior enhancements.

How Lexus, Infiniti plan to win back luxury buyers from Germans, Tesla

DETROIT — Japanese luxury auto brands Lexus and Infiniti have used the Detroit Auto Show to test new ways to regain momentum against Germany's prestige automakers and Tesla. The Japanese are fighting to gain ground in the U.S. luxury market as Audi and Mercedes-Benz have expanded sales and Tesla has provided a fresh alternative to established brands. Last year, Lexus suffered a 7.6 percent slide in U.S. sales. Acura's 2017 sales fell 3.9 percent from 2016. Infiniti pushed up sales by 11.3 percent — but by selling almost twice as many sport utility vehicles as cars. However, Infiniti's total 2017 sales of 153,415 vehicles put it behind the leading Germany luxury car brands, as well as Acura, Lexus and Cadillac. The Lexus LF-1 Limitless concept SUV model, with its futuristic looks and "Chauffeur mode" semi-autonomous hands-off driving capabilities, signals that Toyota's luxury brand may start to focus more on SUVs than traditional large sedans. The LF-1 also previews a futuristic navigation technology that anticipates where the driver is going based on driving habits and history, and provides hotel recommendations or other concierge services. View 13 Photos "We don't want to be the 'race car' brand; we don't want to be the 'quiet ride' brand. We want to be the brand which is emotionally connected with the customer," said Cooper Ericksen, vice president of U.S. marketing for Lexus. Lexus, Infiniti and Acura launched in the U.S. market in the late 1980s and took advantage of quality problems at Audi and a lack of innovation at the then-leading luxury brands, Cadillac and Lincoln. Now, the structure of the U.S. luxury market has changed. Four brands — Mercedes, BMW, Audi and Lexus — dominate. Tesla delivered 103,000 vehicles in 2017, its best year ever, though that total is still a small fraction of the overall luxury market. Tesla, meanwhile, is trying to overcome "production hell" and increase output of its more affordable compact Model 3 sedan. The highly anticipated car is just starting to reach customers — but with 400,000 preorders, 2018 could be a breakthrough year for Tesla. View 19 Photos In Detroit, Infiniti showed the Q Inspiration Concept sedan powered by a unique, high-efficiency variable-compression gasoline engine. While the prototype is not electric, its exterior might appeal to customers of the Tesla Model S.