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BMW discussing new plant with Mexican authorities

Drawn in by low wages and manufacturing costs, BMW could be the next automaker to set up a manufacturing facility in Mexico. Automotive News is reporting that the German automaker has had discussions with local Mexican governments regarding a possible assembly plant, but there is no word as to when a decision may come down. Last we heard, BMW was reportedly looking to build the 3 Series in Mexico.
A key determining factor for this new plant is a free-trade agreement between the US and Europe, which according to the article, would give BMW better "flexibility and cost structure" to open another plant in North America. In terms of luxury automakers, Audi is currently building a new plant in Mexico and Mercedes-Benz is considering opening one in conjunction with Nissan for the CLA-Class, and in the bigger picture, Honda and Mazda are also preparing to kick off vehicle production in Mexico.

Thanks to smaller engines, vehicle dependability falls for first time in 16 years

As automakers have made engines smaller and smaller to improve fuel economy, problems in those vehicles have gotten bigger and bigger. That's the synopsis of a J.D. Power vehicle-dependability study, which found that dependability dropped for the first time in 16 years, largely because the proliferation of four-cylinder engines is causing the vehicles to be less reliable. Specifically, the number of problems per 100 vehicles (or what J.D. Power calls PP100) during the past 12 months for 2011 model-year vehicles rose six percent from the year-earlier figures for 2010 model-year cars. Singling out four-cylinder vehicles revealed about a 10-percent increase in problems during the past year. This issues largely related to engine hesitation, rough transmission shifting and lack of power, signaling the inability of vehicle makers to iron out some of the problems in their smaller engines as they strove for better fuel economy. Six- and five-cylinder engines proved far more reliable. Among car brands, BMW's Mini sub-brand came out as least reliable, with 185 problems per 100 vehicles during the past year. Toyota's Lexus badge was easily the most reliable, with just 68 problems per 100 vehicles. Coming in second place was Mercedes-Benz. The overall average was 133. Check out J.D. Power's press release below. J.D. Power Reports: Increased Engine and Transmission Problems Contribute to Decline in Vehicle Dependability for The First Time in More Than 15 Years General Motors Company Receives Eight Segment Awards, While Toyota Motor Corporation Garners Seven and Honda Motor Company Earns Six WESTLAKE VILLAGE, Calif.: o Owners of 3-year-old vehicles (2011 model year) report more problems than did owners of 3-year-old vehicles last year, according to the J.D. Power 2014 U.S. Vehicle Dependability StudySM (VDS) released today. The study, now in its 25th year, examines problems experienced during the past 12 months by original owners of 2011 model-year vehicles. Overall dependability is determined by the number of problems experienced per 100 vehicles (PP100), with a lower score reflecting higher quality. The study finds that overall vehicle dependability averages 133 PP100, a 6 percent increase in problems from 126 PP100 in 2013. This marks the first time since the 1998 study that the average number of problems has increased. "Until this year, we have seen a continual improvement in vehicle dependability," said David Sargent, vice president of global automotive at J.D.

Toyota launches BMW-powered Verso in Europe

BMW makes some sweet-revving engines, but its own vehicles aren't the only ones running BMW engines. So do the latest from Rolls-Royce and Mini, of course, as well as a handful of Peugeots and Citroëns thanks to its joint engine program with PSA. Wiesmann uses BMW engines, as did the famous McLaren F1. And now we can add one more to the list.
That would be the Toyota Verso, a Corolla-based minivan which Toyota builds in Turkey and sells in Europe and a few other markets overseas. The Verso is also now officially the first beneficiary of the partnership between Toyota and BMW as the Japanese automaker has released the MPV with BMW's 1.6-liter turbodiesel four.
The 111-horsepower engine is coupled to a Toyota transmission and joins the Verso range as the fourth (and least powerful) engine in the lineup, alongside the 122hp 2.0 diesel and the gasoline options with 1.6 liters and 160 hp and 1.8 for 180. Future collaborations between the two automakers will include fuel-cell development, a new joint sportscar platform, lightweight bodywork research and a new generation of lithium-air batteries. See the press release below for further details.