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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.

Takata air bag recall list

The National Highway Traffic Safety Administration confirmed yesterday that 33.8 million vehicles with Takata airbags are going to be recalled. It's the largest recall in automotive history. The already record-breaking rate of automotive recalls this year shows no signs of slowing down, especially since millions of cars with defective airbags made by global supplier Takata are under ongoing scrutiny. The federal government is warning owners that inflator mechanisms in the air bags can rupture, causing metal fragments to fly out when the bags are deployed. The faulty air bags have already been blamed for multiple deaths. How do you know if your vehicle is safe? The National Highway Traffic Safety Administration released an updated list of vehicles under recall. Sometimes however, the government's website will crash and the list may not be complete. Check your VIN at the NHTSA website to make sure. The list of cars affected by the recall has not been released, but seem to span multiple models over the years for many of the automakers.

2019 BMW M850i xDrive: How it compares on paper with other GT coupes

Although the hot new vehicles for the rich seem to mainly comprise SUVs and supercars, the neglected luxury GT coupe segment is starting to see some life again. The latest to add a spark to this set is the 2019 BMW M850i xDrive. It goes on sale later this year, and revives the 8 Series that's been dead since the 1990s. The first version available to Americans will be one with a twin-turbo 4.4-liter V8, with other versions likely following. Before it launches, we wanted to get a lay of the grand-touring land and see how the new BMW stacks up to the competition in performance, practicality and price. While some of these models have higher-performance or more-affordable iterations, we picked the versions that would be the closest match to this 8 Series model. They include the 2019 Lexus LC 500, 2018 Mercedes-Benz SL 550, 2018 Mercedes-Benz S 560 Coupe and the 2018 Maserati GranTurismo. We will also provide some short summaries on our experiences with these cars, but to get a full picture of each model, be sure to check out their full reviews. And if you want to compare any of these cars with models you don't see here, be sure to try out our car comparison tool. Engines, transmissions and performance On paper, the BMW M850i xDrive is clearly the performer of the group. It has the most power and torque at 523 horsepower and 553 pound-feet. Coupled with all-wheel-drive and an eight-speed automatic, the car is able to overcome its relatively portly 4,478-pound curb weight to hit 60 mph in a scant 3.6 seconds. That's more than half a second quicker than the lightest car in the group, the Mercedes-Benz SL550, which weighs 4,012 pounds. The other three vehicles are in the low- to mid-4-second range to 60 mph. Though the Maserati is the slowest to 60 mph, it does boast the highest top speed of 186 mph. The M850i and SL 550 are electronically limited to 155 mph, while the Lexus is limited to 168 mph. The Mercedes S 560 has the lowest top speed at an electronically limited 130 mph. View 52 Photos Of interest is that there's a 50/50 split among these cars between using a pair of turbos, and having none at all. The BMW and Mercedes resort to forced induction, whereas the Lexus and Maserati choose to stay naturally aspirated. This is likely why the Germans break 500 pound-feet of torque, while the others don't make it to 400. Also interesting is the spread of gear quantity. The Maserati has just six ratios to choose from, and the Lexus has a whopping 10.