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Audi readying 650-hp Sport Quattro Concept for Frankfurt

Remember Audi's perfectly lovely Quattro Concept from the 2010 Paris Motor Show? Of course you do. The latter-day Ur-Quattro is laser-etched in our brains as well - and not just because Audi was kind enough to offer our man Michael Harley a mountain drive of its seven-figure showcar. At the time, Audi hinted that the coupe might have a showroom future, but the gossip pipeline has long since gone dry, leading us to believe that the car's production hopes had soured.
That 2010 concept was powered by a 2.5-liter five-cylinder engine yielding 380 horsepower and 354 pound-feet of torque, a relatively modest but appropriate engine configuration in light of the Ur-Quattro's five-banger. Given the Quattro Concept's size and specs, it wasn't clear exactly where such a vehicle might fit into the company's lineup, though, as it already already offers the successful A5/S5/RS5 lineup.
Apparently, Audi might have a solution to that conundrum. A new report from Germany's AutoZeitung suggest that the automaker is posed to reveal a production version of the concept at the Frankfurt Motor Show in September - on the Ur-Quattro's 30th anniversary, no less. Word is that Audi is taking the Quattro Concept upmarket in a big way, with a tuned version of the twin-turbo 4.0-liter V8 from the RS7 churning up in the neighborhood of 650 horsepower. Naturally, all-wheel drive will get all that power to the ground, and new bodywork is expected as well. In addition to the powertrain switch-up, there is talk of extensive use of lightweight materials, including magnesium, carbon fiber and aluminum, with a target weight of under 2,900 pounds. Magnetic ride control suspension and carbon-ceramic brakes are also expected to find their way onto the model. Unsurprisingly, all of that extra equipment is likely to impact the car's bottom line - reports suggest its sticker price could crowd that of the mighty R8 at around $150,000.

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.

2015 will be the biggest year ever for cars at CES

Like the SEMA Show, major automakers are paying increasing attention to the CES, with 2015 expected to be one of the most auto focused yet. Ford, Volkswagen, Toyota, General Motors, Hyundai, Mazda, Audi, BMW and Fiat Chrysler Automobiles will all be in attendance when CES 2015 kicks off next week, taking up a record-breaking 165,000 square feet of space at the Las Vegas Convention Center. "We've come a long way from a single car on a carpet," Ford's Alan Hall told Bloomberg. Unlike SEMA, or a more traditional auto show, like the upcoming festivities in Detroit, CES doesn't necessarily focus on entire cars or the way they perform, but on the way our technology will interact with vehicles, and in how those vehicles will deliver information to drivers. "CES has become a major launch point for a lot of the big automakers," IHS tech analyst Mark Boyadjis told Bloomberg. "CES is a way for them to get on a global stage for technology." As for what kind of wares automakers will trot out in Las Vegas, we already know that BMW will show off an autonomous i3 electric car that can navigate its way through a multistory car park and can be hailed via a smartwatch app. According to Bloomberg, Hyundai will show off its own smartwatch app for the Genesis sedan, while Audi and Mercedes-Benz will show off autonomous vehicles next week. Automakers won't be the only companies looking to capitalize on CES. Tech firms, like chipmaker Nvidia, are becoming increasingly involved in the automotive game and will be in town showing their wares off to OEMs. "Two years ago, our booth would have been filled with PCs and people playing video games," Danny Shapiro, Nvidia's senior director for automotive business, told Bloomberg. "This year we made a strategic decision to shift the focus of the booth on automotive and de-prioritize some of the other things." Needless to say, you can expect to see a lot of news out of Las Vegas come next week. Stay tuned. News Source: BloombergImage Credit: Julie Jacobson / AP CES Audi BMW Chrysler Fiat Ford GM Hyundai Mazda Toyota Volkswagen Technology CES 2015