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Automakers face reality of EVs' cost — to jobs, and their bottom line

Related: We obsessively covered the Frankfurt Motor Show — here's our complete coverage FRANKFURT, Germany — European car bosses gathering for the Frankfurt auto show are beginning to address the realities of mass vehicle electrification, and its consequences for jobs and profit, their minds focused by government pledges to outlaw the combustion engine. As the latest such announcement by China added momentum to a push for zero-emissions motoring, Daimler, Volkswagen and PSA Group gave details about their electric programs that could give policymakers some pause. Planned electric Mercedes models will initially be just half as profitable as conventional alternatives, Daimler warned — forcing the group to find savings by outsourcing more component manufacturing, which may in turn threaten German jobs. "In-house production is almost irrelevant to the consumer," Daimler boss Dieter Zetsche told reporters on the eve of the Frankfurt Motor Show, in the midst of a German election campaign in which automotive jobs have loomed large. The company set a target of saving 4 billion euros ($4.8 billion) by 2025 to help fund the cost of its electric cars. "Daimler is the first company to state explicitly how much electric vehicles are going to hurt margins," said Bernstein analyst Max Warburton. "It was brave to go first — but of course it won't be the last." Volkswagen, for its part, said it was seeking new global supplier contracts to source 50 billion euros ($60 billion) of electric car content including batteries, which are not yet manufactured competitively in Europe. "A company like Volkswagen must lead, not follow," Chief Executive Matthias Mueller told reporters. VW diesel emissions-cheating exposed by U.S. regulators in 2015 triggered global public outrage, dozens more investigations into test-rigging by the wider industry and a push by some lawmakers to ban diesel and eventually all engines. TIGHTENING NOOSE Tesla shares jumped nearly 6 percent on Monday after a Chinese minister said it was a question of when, not if, Beijing bans fossil-fuel cars, tightening the noose around the combustion engine. France and Britain have promised its outright abolition by 2040. But PSA, the maker of Peugeots and Citroens, said it was concerned about the risks if consumers were left behind in the rush, and a new generation of battery cars does not sell.

2014 Mercedes-Benz E63 AMG S 4Matic [w/video]

Maybe you saw our recent blog snippet on a bunch of US journos getting pulled over in the middle of nowhere in Catalunya, Spain for driving a bunch of new 2014 Mercedes-Benz E63 AMG models. By all accounts, they weren't speeding - which makes me softly guffaw. I was there in that group, yet I had taken the more direct route into the mountains from Barcelona so that I could... well, so that I could go faster. No one hassled me and I had the Autovia all to myself. And it was the goodniks - the team players - who got nabbed because Spain had decided to suddenly enforce the never enforced "must carry an international driver's license" clause of the highway code.
The departing E63 AMG with 518 horsepower and 516 pound-feet of torque from its M157 5.5-liter biturbo V8 hasn't exactly been poorly received. It isn't as crisp as, nor as pleasantly evil as its C63 AMG kid brother, but we generally accept that the heavier and larger car will always feel, well, heavier and larger.
As part of the 2014 E-Class mid-cycle redesign, Affalterbach decided to give its E63 AMG more power and torque for the occasion. The base car now gives off 550 hp and 531 lb-ft, while the hotter S version I tested (formerly the AMG Performance Pack) produces 577 hp and 590 lb-ft. The other big novelty is that E63 sedans will be available with both rear- and all-wheel drive, while all US-spec E63 wagons will be 4Matic equipped.

Maybach Coupe Teased by Mercedes-Benz | Autoblog Minute

It looks like a new two-door Maybach is on it?s way. Mercedes teased the internet this week with a Facebook post featuring a picture of a red two-door coupe. Maybach Mercedes-Benz Autoblog Minute Videos Original Video autos