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Race recap: 2016 Belgian Grand Prix is a dozen angry laps

The calm of the Formula One summer break ended with the tumult of the Belgian Grand Prix. The first two days included unusual tire pressures and grid penalties; Mercedes-AMG Petronas' Lewis Hamilton started 21st because of a 55-place grid penalty for engine and gearbox changes, McLaren's Fernando Alonso started 22nd due to a 60-place penalty for the same offenses. The bedlam rolled right into what was effectively an 11-or 12-lap race. Mercedes driver Nico Rosberg took off from pole and the cameras barely bothered with him until he took the checkered flag 44 laps later. Red Bull's Max Verstappen bogged from second on the grid, got swallowed by Ferrari's Sebastian Vettel and Kimi Raikkonen on the way to Turn 1, then attempted to recover by sticking his Red Bull's nose between Raikkonen's sidepod and the apex at the first corner. Vettel, who didn't see Verstappen, turned into La Source leaving only enough room for Raikkonen. Three cars don't fit in a space for two cars. Vettel spun, Raikkonen and Verstappen clobbered one another and all three drivers had to pit for repairs. Force India's Nico Hulkenberg zig-zagged his way into second ahead of Red Bull's Daniel Ricciardo, Williams' Valtteri Bottas, and Sergio Perez in the second Force India. On Lap 6 Kevin Magnussen lost his Renault at Raidillon at the top of Eau Rouge and flew backward into an enormous crash. Magnussen escaped with just a cut ankle. The Safety Car paraded the field for four laps before officials red flagged the race to repair the barriers. When racing resumed on Lap 10, Rosberg led Ricciardo, Hulkenberg, Alonso, and Hamilton. Ricciardo stayed ahead of Hamilton to keep second place at the end of the race, Hamilton easily got around Alonso and Hulkenberg to lock up third. Hulkenberg – who'd given up second to Ricciardo by pitting during the Safety Car period – earned another career-best fourth position ahead of teammate Perez in fifth, followed by Vettel and Alonso on recovery drives, Bottas, Raikkonen, and Felipe Massa taking 10th in the second Williams. Rosberg reignited his Driver's Championship charge with the victory, closing to nine points of leader Hamilton. We could argue that Hamilton had an equally good day by driving from 21st to third, limiting his loss to only 10 points. About that Verstappen, though... We've seen far more experienced drivers attempt the same move Verstappen made into Turn 1 – Raikkonen on Bottas in Russia in 2015, for instance.

Is Audi getting complacent and suffering from brain drain?

The argument is made in a Reuters article: Audi is falling behind other luxury brands, such as Mercedes-Benz and BMW, due to a lack of research-and-development spending and "brain drain," or the migration of top executives and R&D chiefs to other parts of the Volkswagen Group. Reuters notes that Audi's current R&D chief is the third in 16 months.
Audi, which contributed to 40 percent of VW Group's $11.6 billion in profit the first nine months of the year, is delivering cars at a record pace: 1.31 million were delivered from January to October 2013 versus BMW's 1.35 million. Yet Audi, Reuters reports, doesn't have a halo car akin to BMW's new electrified i3 and i8 or an answer to Mercedes' plug-in-hybrid S-Class, and the R&D spending at Audi is less than BMW and Mercedes by a fair margin. It's noted in the article, however, that Audi benefits from other R&D spending within VW Group.
Reuters mentions that BMW "trumpets its new 'i' series" and the new Mercedes CLA and GLA ranges are winning "rave reviews" as part of its argument that Audi's recent lack of technological innovation could hurt future sales. Those cars do pack tons of new technology, some of which are firsts for mainstream production cars. But last time we checked, the i3 could be causing BMW's stock to slide, the CLA isn't receiving the rave reviews that Reuters would have you believe and the GLA hasn't been reviewed yet.

U.S. tariff threat hits European automakers' stocks

FRANKFURT, Germany — A U.S. warning that it may introduce tariffs on foreign auto imports hit shares in German carmakers BMW, Daimler and Volkswagen on Thursday, which together have a more than 90 percent share of North America's premium car market. Washington said on Wednesday it had launched an investigation into whether car and truck imports are a national security issue due to signs they had damaged the U.S. auto industry. That could lead to new U.S. tariffs — up to 25 percent — similar to those imposed on imported steel and aluminum in March. BMW and Daimler shares fell as much as 3.1 percent in early Thursday trading, while Volkswagen's dropped as much as 2.5 percent. "(U.S. President) Donald Trump is obviously not thinking about how to prevent a trade war. Import duties on cars would be a nightmare for the German auto industry and would lead to a massive sales impact," said Thomas Altmann at Frankfurt-based asset manager QC Partners. BMW on Thursday condemned the move to consider tariffs. "The BMW Group is committed to free trade worldwide. Barrier-free access to markets is therefore a key factor not only for our business model, but also for growth welfare and employment throughout the global economy," it said. Daimler, which makes Mercedes-Benz cars, and Volkswagen, which makes upmarket Audis and Porsches, were not immediately available for comment. German carmakers produced 804,000 cars at local factories in the United States and exported 657,000 German-made cars into North America last year, according to German auto industry association VDA. China took pains on Thursday to welcome German firms and investments, with Premier Li Keqiang talking up relations after a meeting with German Chancellor Angela Merkel. BMW and Mercedes have expanded production capacity in the United States, but BMW, Audi, Volkswagen and Daimler have also invested billions to build new factories in Mexico in the hope of selling locally produced cars into the United States. German carmakers hiked vehicle production in Mexico by 46 percent to 620,000 cars last year, while production levels inside the United States fell by 6 percent to 804,000 cars because of a shift to Mexico, according to the VDA. BMW has its biggest factory worldwide in Spartanburg, South Carolina, and is the largest vehicle exporter among all the carmakers in the United States measured by value of goods exported. More than 70 percent of BMW's U.S.-made cars are exported.