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Mercedes and Infiniti confirm joint production in Mexico [w/video]

It's official, folks: After initial reports last week indicated that Mercedes-Benz was preparing to begin assembly at the Nissan plant in Aguascalientes, Mexico, the two parent companies have announced just that. Only instead of using the existing Nissan plant at the site (in operation since 1992), Daimler and the Renault-Nissan Alliance have announced a joint venture to build a new one alongside it.
The latest stage in the growing French-German-Japanese collaboration is part of a new collaboration that will see Infiniti and Mercedes jointly develop and build a line of compact premium vehicles, with the first Infiniti models set to roll off the assembly line in 2017 and the first Benzes to follow a year later. Neither party announced exactly which models that would encompass, but Mercedes already has a robust line of small vehicles (including the A-Class, B-Class, CLA and GLA), and Infiniti has long been toying with the idea of slotting in something smaller below the Q50.
The billion-euro project, split evenly between the two industrial giants, is set to create 5,700 new jobs in Mexico. In addition to the Aguascalientes project, Infiniti and Mercedes are also undertaking joint production of four-cylinder engines (initially for the C-Class and Q50) in Decherd, Tennessee, from which they will be exported around the world. By the time the new factory in Mexico reaches full capacity in 2021, it will have the capability to produce 300,000 vehicles annually. That's on top of the 850,000 vehicles the existing facility is capable of handling.

At long last, Infiniti plans a production EV

After years of false starts, it appears that Nissan's Infiniti division will finally launch a production electric car in 2019 and debut it as a concept in January at the North American International Auto Show in Detroit. Details at this point are scant, but Infiniti Executive Design Director Alfonsa Albaisa told Autocar the EV would be an all-new electric-only vehicle based on a new platform. Citing the company's grand prix-inspired Prototype 9 racecar concept that was shown a few weeks ago at Pebble Beach, Albaisa said consumers would see "parts of the car in a different context" on the concept EV. The Prototype 9's all-electric powertrain was developed by parent company Nissan's Advanced Powertrain Department. The last we saw of any electric offering from Infiniti was way back in 2012 with the LE Concept sedan, which was supposed to show up in dealerships two years later. Those plans were initially postponed in 2013 and then again in 2015 amid doubts over EV sales projections and larger concerns over boosting overall Infiniti sales. The LE had a 24 kWh lithium-ion battery pack paired with a 100 kilowatt electric motor delivering 134 horsepower and 240 pound-feet of torque. Related Video: Featured Gallery Infiniti Prototype 9 at Pebble Beach View 26 Photos Related Gallery Infiniti LE Concept: New York 2012 Green Infiniti Concept Cars Electric Pebble Beach

Red Bull to run TAG Heuer-branded engines next season

After a drawn-out and very public effort to switch to a different engine supplier, Red Bull Racing will once again be running under Renault power next season. Only it won't be labeled as a Renault. Instead, it will be branded by TAG Heuer. Now if you're thinking that TAG Heuer was in the McLaren camp, you were right up until today's announcement. One of McLaren's oldest partners, the watchmaker jumped ship to join up with Red Bull instead, ostensibly replacing Casio as the team's official timekeeper. Now here's where it gets a little tricky: Mansour Ojjeh and his Techniques d'Avant Garde holding company remain a major stakeholder in McLaren. The firm owned Tag Heuer from 1985 to 1999; now its former watch brand is leaving for Red Bull. This isn't the first time that the TAG name has transferred from one F1 team to another, nor is it the first time we'll see its name replace that of a major automaker on an F1 engine. Techniques d'Avant Garde previously partnered with Williams before Ron Dennis took over in Woking and convinced Ojjeh to come on board. That partnership saw TAG work with Porsche on a successful F1 engine program that won three drivers' championships (with Niki Lauda and Alain Prost), two constructors' titles, and 25 grands prix. While unusual, the deal is hardly unprecedented. Aside from the McLaren-TAG-Porsche arrangement, Sauber once ran Ferrari engines under the brand of its sponsor Petronas (which has long since switched to Mercedes). For another example, the 1998 world championship saw Benetton running Renault engines under the Playlife name, while Williams rebranded its version as Mecachrome, as the French automaker shifted its priorities in F1 much as it is right now. The announcement still leaves a few questions unanswered, however. For one, will Red Bull continue running TAG Heuer-branded engines made by Renault (or another supplier) after 2016? And what does this spell for Infiniti, Renault's sister-brand that has sponsored the team for the past several years? Infiniti declined to comment, but we're told there'll be some sort of announcement early next week. Red Bull Racing to drive forward with TAG Heuer power unit in 2016 From the milliseconds that separate victory from defeat to the finely balanced and perfectly measured rhythm of a racing engine, in motorsport timing is everything.