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NHTSA slaps BMW with $40M fine for slow Mini recall

BMW is on the hook for a $40-million fine after the National Highway Traffic Safety Administration slapped the automaker over not recalling Minis that failed to meet minimum side-impact crash standards. The civil penalty from NHTSA concerns 2014 and 2015 Mini Cooper hatchback models that "failed a crash test designed to determine whether the vehicle met crash-protection minimums," the government agency said in a press release issued this week. An October 2014 test revealed the first problem, and the Mini was subsequently retested in July, only to fail again and finally prompt a recall of more than 30,000 cars. But according to NHTSA's investigation that was opened in October, BMW waited too long to issue a recall after it knew the cars did not meet standards and bring them into compliance with more energy-absorbing materials installed by Mini dealers. This is the second time NHTSA slapped BMW with a major penalty, following a $3-million fine back in 2012 failing to report recalls of its cars and motorcycles. "For the second time in three years, BMW has been penalized for failing to meet that obligation," NHTSA Administrator Mark Rosekind said in the release. "The company must take this opportunity to reform its procedures and its culture to put safety where it belongs: at the top of its priority list." In a separate release issued this week, BMW Group said it, "is committed to further improving its recall processes to better serve its customers," and that the company, "respects the role of NHTSA and looks forward to working with them to develop solutions for the future." National Highway Traffic Safety Administration fines BMW $40 million for failing to meet safety requirements Fine is auto company's second since 2012 WASHINGTON – The U.S. Department of Transportation's National Highway Traffic Safety Administration has imposed a $40 million civil penalty and a series of performance requirements to automaker BMW North America for a series of violations of the Motor Vehicle Safety Act and NHTSA regulations. Under terms of a Consent Order issued to BMW, the company acknowledges that it violated requirements to issue a timely recall of vehicles that did not comply with minimum crash protection standards, to notify owners of recalls in a timely fashion, and to provide accurate information about its recalls to NHTSA. NHTSA imposed a $3 million civil penalty to BMW in 2012 for similar violations.

Trump calls Germans 'very bad,' vows to stop their car sales in US

TAORMINA, Italy -Talks between President Trump and other leaders of the world's rich nations at the G7 summit on Friday were expected to be "robust" and "challenging" after he had lambasted NATO allies and condemned Germans as "very bad" for their trade policies. Trump's confrontational remarks in Brussels, on the eve of the two-day summit in the Mediterranean resort town of Taormina, cast a pall over a meeting at which America's partners had hoped to coax him into softening his stances on trade and climate change. According to German media reports, Trump condemned Germany as "very bad" for its trade policies in a meeting with European Commission President Jean-Claude Juncker, signaling he might take steps to limit sales of German cars in the United States. "The Germans are bad, very bad," he reportedly told Juncker. "Look at the millions of cars that they're selling in the USA. Horrible. We're gonna stop that." White House economic adviser Gary Cohn on Friday confirmed the reports. "He said they're very bad on trade, but he doesn't have a problem with Germany." Cohn said Trump had pointed out during the meeting that his father had German roots in order to underscore the message that he had nothing against the German people. Trump's spokesman Sean Spicer said Trump had "tremendous respect" for Germany and had only complained about unfair trade practices in the meeting. Juncker called the reports in Spiegel Online and Sueddeutsche Zeitung exaggerated. The reports translated "bad" with the German word "boese," which can also mean "evil," leading to confusion when English-language media translated the German reports back into English. "The record has to be set straight," Juncker said, noting that the translation issue had exaggerated the seriousness of what Trump had said. "It's not true that the president took an aggressive approach when it came to the German trade surplus." "He said, like others have, that (the United States) has a problem with the German surplus. So he was not aggressive at all," Juncker added. In January, Trump threatened to slap a 35 percent tax on German auto imports. "If you want to build cars in the world, then I wish you all the best. You can build cars for the United States, but for every car that comes to the USA, you will pay 35 percent tax," he said. "I would tell BMW that if you are building a factory in Mexico and plan to sell cars to the USA, without a 35 percent tax, then you can forget that." Last year, the U.S.

Next BMW X1 moving to smaller, lighter FWD-biased platform

BMW's decision to make the upcoming 2-Series Active Tourer front-wheel drive has been polarizing to say the least, but like it or not, that is the direction the company will go in the near future - one rumor put the number as high as 23 front-wheel-drive models for Mini and BMW combined. The next-generation X1 won't send all its power to the front wheels, though, when it launches in early 2016. While it will use the same platform as the Active Tourer, rumors suggest all models will use all-wheel drive - at least at launch.
A "high-ranking," unnamed BMW manager confirmed to AutoWeek that the new model will switch to transversely-mounted three- and four-cylinder engines and the same six-speed manual and eight-speed automatic transmissions as the Active Tourer. The new, smaller platform will allow for more efficient packaging, and despite the smaller size, interior space will remain comparable. All the changes should make it significantly lighter too.
Don't start wailing just yet because BMW surely won't be entirely abandoning sporty models. AutoWeek claims that the Bavarians are working on a higher-output version of the 2.0-liter turbocharged four-cylinder with power closer to 300 horsepower, about a 72-hp boost. It's also rumored to offer a sporty version of the X1 that may be called the X2.