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How tariffs in China could cause a meltdown in the American South

While BMW is clearly a German company, the crossovers that are exceedingly important to it are actually made in Spartanburg, South Carolina. And more than that, the Spartanburg plant (physically located in the town of Greer) is where the corporate know-how and capability for those vehicles is concentrated. These are the vehicles – specifically, the BMW X3, X4, X5, X6, X7 – that drove record growth for the company in 2018, according to BMW. But whatÂ’s most notable about BMW Group Plant Spartanburg, given current events, is that according to the U.S. Department of Commerce it was the largest automotive exporter by value for the fifth year running in 2018. ThatÂ’s worth emphasizing: largest automotive exporter by value. Not GM. Not Ford. BMW. And where might one assume that more than a few of those X vehicles are shipped to? China. Some 360 miles southwest of Spartanburg is Mercedes-Benz U.S. International, Inc., in in Tuscaloosa County, Alabama. It started building vehicles in 1997. Since then, Daimler AG has invested in excess of $5.5 billion in the facility. It manufactures the crossover now known as the GLE, formerly the ML-Class. It also makes the GLE coupe and GLS. Daimler describes the Tuscaloosa facility as “the traditional home of SUV production” for those vehicles. When it reported its global 2018 sales, Daimler noted that on a global basis SUVs account “for more than a third of all Mercedes-Benz sales.” According to the Chinese finance ministry, on December 15th the Chinese government will impose a 25% tariff on automobiles (and a 5% tariff on auto parts) from the U.S. Certainly this is going to have a direct effect on the sales of vehicles that are manufactured in the U.S. and exported to China. BMW and Mercedes are going to take it on the chin for the vehicles that they make in plants that they invested in so heavily in the U.S. Which could potentially mean that people in places like Greer, South Carolina, and Vance, Alabama, are going to find themselves in the crosshairs of the combatants. Soo too could Lincoln, which produces vehicles in places like Louisville, Kentucky (Navigator), Chicago, Illinois (Aviator) and Flat Rock, Michigan (Continental). Although the Tesla Gigafactory 3 is rapidly nearing completion in Shanghai, it is worth noting that vehicles built in Fremont, California, are being sold in China in numbers that donÂ’t make Musk unhappy.

Buick will cease using ‘Buick’ badge on vehicles from 2019

GM Authority recognized that the recently unveiled 2019 Buick Envision is missing something: a " Buick" badge on the left side of the tailgate. Every other vehicle the carmaker sells features that script, but not the new mid-sized crossover. When the site asked about the omission, "representatives recently told GM Authority that Buick will stop using the brand badge on the rear of its vehicles, starting with the 2019 model year." The only identifiers that will remain are the three-color Tri Shield logo and the model nameplate, i.e., "Envision" or " Regal." It's a bold game for a mass-market major automaker, though Audi, Hyundai and Volkswagen follow the same trend. Even Bugatti, Rolls-Royce, Bentley, and Aston Martin affix their brand names to their vehicles within company icons or on brake calipers, albeit in small fonts. The coming Continental will wear the word "Bentley" across its trunk, silverware the present Continental does without. Porsche allows customers to delete model designations, but it must be requested. At the other end of the spectrum, the Ford Mustang Bullitt wears zero badges, but the Bullitt is a special edition of a well known model that otherwise advertises its provenance everywhere. Buick plays in hard-fought segments where mass appeal overrules instantly-identifiable design daring. Those kinds of carmakers usually want to take every opportunity to advertise every sale. Remember the last Buick to go without a make badge? The terrifically handsome Buick Avista concept that wore only two Tri Shield logos and its model name on the decklid. Perhaps that gave Buick some ideas. If the carmaker plans to start putting out cars like the Avista, then this move makes perfect sense. Update: A commenter pointed out that Hyundai vehicles don't have "Hyundai" badges, only the "Flying H." We've thought of some other brands/models, too. So Buick has mass-market company. Related Video:

GM sweetens military discount for Buick, Chevy and GMC

American servicemen and women interested in a new vehicle from Chevrolet, Buick or GMC now have a bit more incentive to head down to their local dealer, as General Motors has announced plans to improve its military discount program.
The new GM Military Discount Program offers eligible consumers a new Chevy, Buick or GMC at invoice pricing, which in some cases can take very large chunks out of a car's retail price. When factored in with other incentives, most of which are available with the Military Discount, the bargains are thick on the ground for members of the US armed forces.
GM's Retail Sales and Marketing Support general manager, Chuck Thomson, said, "GM has long supported the military and military families, and we hope this simplified and enhanced discount will show our appreciation for their service and help make it easier for them to own one of our great new vehicles." The program is open to all active duty and reserve members in the Army, Navy, Marines, Air Force, National Guard and Coast Guard, as well as veterans that have been out of the service for less than a year. Military retirees and their spouses are also eligible for the discount.