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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.

BMW teases new 7 Series with gesture control tech, LCD display key

Want an early glimpse at what features you can expect to see in your next car a few years down the line? Look to flagship luxury sedans, where automakers often roll out their most advanced technologies. Like on the next-generation BMW 7 Series. Previewed in this teaser clip above, detailed in the press release below and pictured in the massive gallery at bottom, Munich's upcoming flagship model will be packed with innovative features. It'll have a remote-control parking feature that won't even require the driver to be on board when entering or exiting a parking space, controlled through an LCD touchscreen on the key fob. Once on board, you'll also be able to control the infotainment system with three-dimensional gestures made in the air or through the touchscreen display. Power will be provided by a new generation of engines, starting with a turbocharged inline-six mated to an eight-speed automatic transmission. An adaptive air suspension promises to offer a sporty or cushioning ride as desired. And it's all being built around a structure made partially out of carbon fiber, cutting nearly 290 pounds off the curb weight. All of which paints a picture of the next-generation 7 Series as a rolling technology exhibit, and one we're looking forward to experiencing first-hand. Technology and innovation workshop on the new BMW 7 Series model range. PreDrive Miramas. 17.04.2015 BMW is using a technology and innovation workshop to present an initial selection of development highlights which the next generation of the BMW 7 Series model range will use to set new benchmarks in lightweight design, driving dynamics, comfort, intelligent connectivity and operation. The extensive use of carbon-fibre-reinforced plastic (CFRP) in the structure of the passenger cell, the rigorous and detailed application of lightweight design and a new generation of engines combine to reduce the weight of the luxury sedan along with its fuel consumption and emissions figures. The comfort, safety and driving experience offered by the new BMW 7 Series benefit from new chassis technology, exceptional scope for interaction with the car's infotainment technology and a wider selection of driver assistance systems from BMW ConnectedDrive. BMW EfficientLightweight: Carbon Core helps to reduce weight by up to 130 kilograms. Thanks to the BMW EfficientLightweight strategy, the new BMW 7 Series line-up will tip the scales up to 130 kilograms lighter than the outgoing generation of models.

2014 BMW X5 priced from $53,725*

A month after the official curtain was dropped, BMW has seen fit to release pricing information on its new 2014 X5 crossover. The X5 sDrive35i, which is the first rear-wheel-drive version of the X5, will begin at $53,725 (*including $925 for destination and handling) while the traditional all-wheel-drive X5 xDrive35i will begin at $56,025. Both feature BMW's well-regarded 3.0-liter TwinPower Turbo N55 engine with 300 horsepower and 300 pound-feet of torque.
The 2014 BMW X5 xDrive35d (Have these convoluted names confused you yet?) is priced at $57,525 with its 3.0-liter diesel engine (255 hp and 413 lb-ft), and, finally, the TwinPower Turbo V8-powered X5 xDrive50i (445 hp and 480 lb-ft) will start at $69,125. Buyers looking to customize their X5 experience can choose from the Luxury Line, xLine or M Sport packages, plus Ivory White and Mocha Interior Design Packages. Regardless of which engine is chosen, the X5 will come equipped with an eight-speed automatic transmission.
For comparison, the 2013 X5 xDrive35i started at $48,425. That means the price has increased by over $5,000 despite not including standard all-wheel drive or by $7,600 when comparing apples to apples with similar six-cylinder engines and power to all four wheels. The V8 model increased by $4,000 and the diesel, interestingly enough, dropped by $100.