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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.

Jaguar sculpture by RCA design students is a minimal beauty

With its well-deserved reputation for high design, it is not particularly surprising to see Jaguar reaching outside of the automotive realm for future inspiration. To that end, the British automaker recently enlisted the talents of students at the Royal College of Art to create a piece of forward-looking, automotive-inspired sculpture.
The result of this project can be seen above; a sculpture created by RCA students Claire Miller and Ewan Gallimore, and unveiled to a small audience to kick off London's Clerkenwell Design Week. The spare and rather elegant form created by the talented pair absolutely harkens back to coupes from Jaguar's past as well as its present (read: F-Type) without aping any one model particularly.
In a press release, the artists had this to say about the work: "Our form relates to the Jaguar brand through its sculptural volumes, bespoke materials and visual lightness. These elements helped us to create a sculpture that aimed to display a seamless transition between interior and exterior space." Get a better look at the Jaguar artwork in the gallery above, or read through the press release, which follows.

2014 Jaguar XFR-S is the power and the fury

If there's something wrong about a sedan with a 550-horsepower supercharged V8, we don't want to hear about it. Instead, we want to marvel at the car in person, which is fortuitous because Jaguar has officially unveiled the 2014 XFR-S at the 2012 LA Auto Show. That blown 5.0-liter V8 dishes up a full 502 pound-feet of torque, which is good enough to shuttle the four-door to 60 mph in a scant 4.4 seconds. And, thanks to a start stop system and a few other fuel-saving tricks, the 2014 XFR-S gets away without being hit by the gas guzzler tax.
That's all good news, but we're just as excited about the fact that engineers managed to crank up the vehicle's chassis stiffness by a ludicrous 30 percent. Stiffer dampers and springs also give the car a little more poise, and a wide-open exhaust lets the whole world know you're kicking down their door. You know, in case the electric blue paint and wild body work didn't tip your hand. Check out the full gallery above for a closer look.