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Mini to introduce all-wheel-drive Clubman

The latest Mini Clubman shows how the diminutive brand will go in a larger, more utilitarian direction in the future. The next step might make the wagon an even more versatile option for buyers. A rumor from MotoringFile that cites "sources familiar with the plans" claims that the vehicle will get the automaker's next-gen All4 all-wheel-drive system as soon as spring 2016. Allegedly the all-wheel-drive system derives from the setup that's available on the BMW 2 Series Active Tourer, which shares the Mini's UKL platform. The layout uses a multiple-disk clutch at the rear axle to manage power to the back wheels and can route up to 100 percent of the grunt to the tail in a pinch. When extra traction isn't needed there, power goes exclusively to the front. The All4 system will allegedly be available on both the Clubman Cooper and Cooper S models, and MotoringFile estimates the cost of ticking the option box at around $1,500. After introducing the tech on the standard versions, a hotter John Cooper Works model capable of powering all of its wheels will also reportedly begin production around next November. Mini will reportedly also offer this all-wheel-drive tech in the next-generation Countryman. The vehicle will use the UKL platform like the rest of the brand's lineup, but the crossover will grow even larger to look more off-road ready, according to rumors. We reached out to Mini USA spokesperson Mariella Kapsaskis, who says "she can't confirm anything officially about an all-wheel drive Clubman or JCW variant." Related Video:

Mini wins Dakar Rally for fourth year in a row

Motorsport in its various forms tends to be characterized by eras of domination: Red Bull in F1, Audi at Le Mans, Citroen and now Volkswagen in the WRC. That's certainly the case with the Dakar Rally. After years of domination at the hands of the Mitsubishi Pajero, the Volkswagen Touareg won the famous rally raid three years running. But these days, it's all about Mini. The Anglo-Saxon team won the Dakar three years running, locking out the podium last year in positively dominant style. And now it's won again. After some 5,600 miles spanning three countries across South America, the Mini All4 Racing machine piloted by Nasser Al-Attiyah of Qatar, with France's Mathieu Baumel as co-pilot, has taken the top step on the podium in Buenos Aires. The duo won five out of 13 legs to claim the race, marking the first win for Baumel and the second for Al-Attiyah, who won with VW in 2011. It would have been a podium lockout again for Mini had it not been for Giniel de Villiers and Dirk von Zitzewitz, who placed their Toyota Hilux in second, with additional Minis finishing in third, fourth and fifth. The troubled Peugeot 2008 DKR driven by Stephane Peterhansel ultimately finished in 11th place. American driver Robby Gordon finished first in his class, but 19th overall. Things were even more predictable in the other categories. The Kamaz team from Russia won the Truck category for the third consecutive year (and the twelfth since 2000). Spanish rider Marco Coma won the Motorcycle category on his KTM 450 Rally – his second consecutive win and fifth win overall. And Poland's Rafal Sonik won in the Quad class, which has been taken on a Yamaha ATV every year since the rally moved to South America and the category was instituted.

BMW warns profits will fall, plans $13.6 billion in cost-cutting

FRANKFURT, Germany — BMW said Wednesday that profits in 2019 will be "well below" last year's, and it will cut 12 billion euros ($13.6 billion) in costs by the end of 2022 to offset spending on new technology. The company said profits would be eroded by higher raw materials prices, the costs of compliance with tougher emissions requirements and unfavorable shifts in currency exchange rates. The Munich-based automaker also faces increased uncertainty due to international trade conflicts that could lead to higher tariffs. "Depending on how conditions develop, our guidance may be subject to additional risks; in particular, the risk of a no-deal Brexit and ongoing developments in international trade policy," said Chief Financial Officer Nicolas Peter. The company forecast a profit margin of 6 to 8 percent for its automotive business, short of the long-term strategic target of 8 to 10 percent, which it said still "remains the ambition" for the company if given "a stable business environment." BMW said it had no plans for layoffs even as it outlined cost saving measures that include dropping half of its engine variants as it seeks to reduce product complexity. The BMW, Mini and Rolls-Royce brands are to get a single sales division. Peter said that given the headwinds to earnings, "we began to introduce countermeasures at an early stage and have taken a number of far-reaching decisions." The company said the measures were needed "to offset the ongoing high level of upfront expenditure required to embrace the mobility of the future." Automakers around the world have faced heavy up-front costs for technology expected to change how people get from one place to another in the next decade. Those include electric cars and renting cars through smartphone apps. Yet the returns from such investments remain uncertain and auto companies face competition from tech firms such as Uber and Waymo. BMW made 7.2 billion euros ($8.2 billion) in net profit last year, down 17 percent from 2017, when it booked a gain of $1 billion from U.S. tax changes. The company faced headwinds from increased tariffs on vehicles exported to China from the United States. It also suffered from turmoil on the German auto market when companies faced bottlenecks getting cars certified for new emissions rules. BMW faces uncertainty from U.S.-China trade tensions that could result in new tariffs if talks do not result in an agreement. U.S.