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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.

BMW is ready for our inevitable EV future  

Is "rolling lithium" a thing, yet? Because BMW is trying to make this — the opposite of " rolling coal" — happen at this year's Los Angeles Auto Show. The Bavarian vehicular group is showing five all-new electric-powered concepts or production models in L.A. These include the C-Evolution, a 99-mile range scooter from BMW Motorcycles; the 150-mile range, two-door hardtop Electric Concept from Mini; and three vehicles from its advanced i sub-brand: the i3S, a sportier and more potent version of the brand's electric commuter nodule; the i Vision Dynamics four-door coupe concept, featuring a sporty four-second 0-60 time and a professed 373 mile range; and the long-promised roadster version of the i8 supercar, with just two seats, a bikini top, and an enhanced power pack providing 18 miles of range. The unveiling of these vehicles in Los Angeles makes perfect sense to us. California is one of the world's largest markets for luxury automobiles. It is also America's biggest market for electric-powered vehicles. Studies show that the state's combination of fiscal incentives, trendsetting cultural positioning, legislative requirements and massive population contributed to the purchase of half of the country's EVs and hybrids this decade. "The customers for the brand are mainly on the West and East Coasts, and the California customer especially is interested in sustainability and environmental protection," said Robert Irlinger, head of BMW's advanced i sub-brand. The bigger question revolves around BMW's larger EV strategy. Given the current global regulatory environment, with its rightful pressures on increasing efficiency and decreasing emissions to help soothe our warming planet and save all life on it, luxury automakers seem to be making a push toward developing a range of battery-powered vehicles to be available around or after the start of the next decade. It seems BMW, with its varied subsidiaries — from lightweight scooters to ultra-luxury barges — is uniquely poised to provide an array of such vehicles. "In the first stage of i back in 2013, we brought what you could call 'bookmark' cars to the market — the i3 commuter and i8 sports car — to show the range of what an electric vehicle could be," said Irlinger. "Now, we are seeing growing interest from customers to bring electrification to the heart of the brand, even to a sport sedan like our i Vision Dynamics four-door coupe.

Even Mini's manual transmission take rate is only 11%

Of all the automakers we've talked with so far, Mini seems to sell the largest percentage of its cars with a manual transmission. A representative from the company shared numbers with us that show 11% of its 2019 sales have featured a stick. That beats Subaru's 7%, Volkswagen's 5% and Honda's 2.6%. It likely helps that Mini is a more niche brand, and it offers a manual on nearly every version of its cars. Still, it's sad that 89% of Mini owners decided to get an automatic anyway. The manual take rate between different models varies quite a bit. The high-performance John Cooper Works models are most frequently sold with a manual transmission. The two-door hardtop and convertible versions have the highest percentages for the JCW at 41% and 32%. The JCW Clubman and Countryman follow at 22% and 19%. We're not surprised that the fast versions of Minis are sold with a manual more often than others, but we're surprised that even with two in 10 JCW Clubman and Countryman models selling with one, Mini would drop the option from the new 301-horsepower versions. Unsurprisingly, other trim levels aren't purchased with a stick as often. The least popular is the front-drive Cooper S Countryman at 0%, followed by the regular Cooper Countryman at 1%. Then there's the Cooper Clubman at 3%. Weirdly, the all-wheel-drive Countryman and Clubman models always have a higher percentage of manuals than the front-drive models, with differences ranging from 2% to 10%. The two-door Minis are typically the most likely to sell with a manual even for core models. In the convertible, the 6% of regular Coopers are manual while 30% of the Cooper S are. That nearly matches the JCW convertible. For the hardtop, the regular Cooper's manual take rate is 11% and the Cooper S model's is 17%. These numbers will probably drop in the short term, though. Mini announced that it's temporarily stopping imports of manual Minis due to some emissions calibration issues. After a few months, though, we expect the manual sales to bounce back.