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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 reacquires original factory as classic center

BMW was barely two years old when it started manufacturing airplane engines in a factory on Moosacher Strasse in Munich. Two years after that, it sold the factory to Knorr-Bremse AG, a leading manufacturer of brakes for trains and commercial vehicles, and BMW moved into a new facility on Lerchenauer Strasse. There it expanded into the industrial giant we know today, building engines for cars, trucks, motorcycles, boats and planes. It's taken the better part of a century to get that original factory back, but that's exactly what BMW has done, reacquiring the expanded facility from Knorr-Bremse this month.
The factory on Moonsacher Strasse will now serve as the headquarters for BMW Group Classic, the division that handles archives and historical vehicles for BMW, Mini and Rolls-Royce. From there, just a stone's throw from corporate headquarters and its main plant (as well as BMW Welt and the BMW Museum), the classic division's operations will include a restoration workshop, vintage parts store, the company's archives, administration as well as a place to hold events. In addition, there will be an exhibition space for historical vehicles from the company's considerable collection.
At the heart of the new/old campus is the gatehouse, which is a protected heritage site and will serve as a gateway into the company's history. Read the full details in the press release below.

Orlando Bloom gets custom BMW S 1000 R by Deus Ex Machina

Gearheads can meet in the most unlikely of places. Take Orlando Bloom and Michael "Woolie" Woolaway. One was starring in a film where the other was working as a gaffer – we'll let you figure out which was which – and a friendship was kindled over their love for motorcycles. As it turns out, Bloom is a bit of a BMW bike enthusiast, and Woolie is the head of the famous Deus Ex Machina custom shop in Venice. The pair teamed up to create a custom four-cylinder Bimmer bike for Bloom based on the S 1000 R, and took it into the Malibu Hills for its first shakedown. Considering the Hollywood setting where they met, it should come as little surprise that they brought a film crew along to artfully document the experience, which you can watch in the four-minute clip above. BMW Motorrad and Orlando Bloom present the BMW S 1000 R Custom. Michael "Woolie" Woolaway from Deus Ex Machina turns Orlando Bloom's vision of a custom bike into reality. Munich/Los Angeles. Everyone knows Orlando Bloom as a successful actor, but not everyone knows about his passion for motorbikes. As a long-standing fan of BMW motorcycles, Orlando Bloom owns and rides a number of BMW models, including old classics. For his own custom bike project he specifically chose the BMW S 1000 R. He asked his good friend, Michael "Woolie" Woolaway, head of the Deus Ex Machina custom shop in Venice, CA, USA, to work with him to bring his custom S 1000 R vision into reality. The result of the cooperation, is a stunning one-off 4 cylinder bike. The S 1000 R Custom and Orlando Bloom had their first test ride in the Malibu Hills while shooting "4CYL", a production by Arthur de Kersauson and Clement Beauvais in cooperation with BMW Motorrad.