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U.S. issues new tariff threat, this time against British-built cars

WASHINGTON — Britain is the United States' closest ally but their long friendship may be sorely tested as the two countries try to forge a new trade agreement after Britain's exit from the European Union. U.S. Treasury Secretary Steven Mnuchin said on Saturday in London that he was optimistic that a bilateral deal with Britain could be reached as soon as this year. But Mnuchin gave up no ground after a second meeting with his UK counterpart, Sajid Javid. Javid has insisted that Britain will proceed with a unilateral digital services tax, despite a U.S. threat to levy retaliatory tariffs on British-made autos. Mnuchin told reporters after Saturday's meeting that such taxes would discriminate against big U.S. tech companies like Alphabet Inc's Google, Apple, Facebook and Amazon. The UK Treasury declined to comment on the private meeting. The divide highlights the challenges ahead as the Trump administration seeks a new bilateral agreement with Britain, part of a broader push to rebalance relations with nearly all its major trading partners. The stakes are high — British Prime Minister Boris Johnson has pegged the trade deal with United States as a way to ease the pain of breaking with Europe, Britain's largest trade partner. U.S. President Donald Trump, has promised a "massive" trade deal to support Brexit, the product of a populist movement similar to his "America First" agenda. The goodwill and special relationship the two countries have enjoyed for decades may not count for much, experts say. "Trump is not going to be doing Johnson any favors," said Amanda Sloat, a senior fellow with the Brookings Institution in Washington. "He's not going to give him a trade deal without major concessions." Even before the digital tax issue arose, the Trump administration threatened to tax foreign car imports, which could hit British-made Jaguar, Land Rover, Mini, and Honda Civic hatchback cars. Stiff U.S. trade demands include increased access for U.S. farm goods, concessions that will be difficult for Britain's entrenched natural food culture to swallow. The United States also wants Britain to change the way its National Health Service prices drugs and allow in more U.S. pharmaceuticals, which could prove politically unpopular for Johnson's government. Washington's demand that London block Chinese telecoms equipment maker Huawei Technologies Co Ltd for national security reasons could also cloud talks.

Honda Smart Home, NJ dealer show the power of solar

Car dealerships are not usually thought of as "green" enterprises. They sell, after all, the fossil fuel-powered vehicles that account for about 18 percent of the CO2 emissions created in the US each year. As demonstrated by Rossi Honda in Vineland, NJ though, it doesn't have to be that way. Sure, the franchise still sells cars - lots of them - but they power the entire operation with sunlight in a way that provides ancillary benefits. The franchise has installed over 900 solar panels to become electric-grid neutral. Owned and operated by the seemingly indefatigable Ron Rossi, the franchise has installed over 900 solar panels to become electric-grid neutral. They aren't plastered across the roof of the showroom and service center, though. Instead, the array is mounted on canopies over his inventory, protecting them from sun, snow, and hail. Costing about $1.3 million to install, Rossi expects the system to save twice that amount in electricity bills over its 25-year life expectancy. Not bad, right? It makes us wonder why all dealerships don't do this. Honda itself recently completed its own solar project. The super-efficient Honda Smart Home is equipped, not only with its own beefy 9.5-kW solar array, but also with a 10-kWh lithium battery-based stationary storage system to buffer the building's electricity. Amongst its many party tricks, the home incorporates a DC-to-DC charging set up that allows the complimentary Fit EV to charge with half the efficiency losses of a typical home charging unit. While the installation is quite impressive and will serve as a "laboratory" of sorts for different groups involved with the project at the University of California, Davis, we can't help but wonder if the Japanese automaker couldn't get a bigger bang for its environmental buck elsewhere. A program, perhaps, to help its many franchise dealers to take up the Rossi challenge and go grid neutral. You can watch Rossi show off his array and other increased efficiency efforts by scrolling below for a pair of videos: one from Honda and one produced by Automotive News. As a bonus, we have time-lapse footage of the Honda Smart Home going up accompanied by press releases discussing both efforts. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. This content is hosted by a third party.

Honda revamps F1 engine for McLaren

Things haven't been going smoothly for Honda since returning to Formula One, and the Japanese automaker says the challenge has been greater than it anticipated. But after a stronger showing at the recent Hungarian Grand Prix, Honda says its reliability issues are behind it and is working on introducing a revamped engine for the second half of the season. "I am confident our reliability problems are now behind us, which means we can turn our attention to increasing power," Honda racing chief Yasuhisa Arai told Autosport. "After the summer shutdown our plan is to apply a new-spec engine using some of our remaining seven tokens." The "tokens" to which Arai refers are a way for the FIA to limit engine development. The power units are broken down into 66 such tokens in the regulations, and each engine supplier can change up to 32 of them throughout the season. The allowance was at first afforded only to returning suppliers Mercedes, Ferrari, and Renault, but Honda succeeded in convincing the FIA to allow it the same leeway. Honda has been spending its development tokens on fixing reliability issues, but will shift its focus to improving performance. The McLaren team that Honda powers has only gotten both of its cars to the finish line at two out of 10 races this season. Most of those problems came down to the new engine package. That's compared to only two retirements the team suffered last season, when it was still under Mercedes power, and none the year before. In Hungary, however, the team not only got both cars to the finish line, but placed both in the points for the first time this season. "The sport has changed immensely since the McLaren-Honda 'glory days'," said Arai. "The current technology is much more sophisticated, and it is tough to make a good racing car. We knew it wouldn't be easy, but perhaps we didn't imagine it would be this hard." The Japanese manufacturer is now spending the summer break developing its power unit. Many of those changes are expected to be rolled out in time for the Belgian Grand Prix later this month, with the rest to follow in the ensuing races. Beyond reliability, engine performance is particularly important for the high-speed races at Spa and Monza, where the subsequent Italian Grand Prix will be held early next month. Related Video: