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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.

Here's today's round of auto plant closures in response to coronavirus

More automakers have shuttered factories, as businesses everywhere work to slow the spread of the Covid-19 coronavirus — and as the pandemic slows sales and disrupts parts supply chains. On Friday, the following closures were announced: • Volvo will close its factories in Sweden and the United States from March 26 to April 14. Volvo's U.S. facility, in Charleston, South Carolina, makes the S60 sedan. Its assembly plant in Torslanda, Sweden, turns out the XC90, SC60, and V90. Other Swedish facilities make engines and component parts. A Volvo factory in Ghent, Belgium, that builds the XC40 and V60 closed earlier this week and is expected to remain offline until April 6. Volvo's four factories in China have been reopened after a shutdown earlier this year. • Jaguar Land Rover announced that it will suspend production at its assembly plants in the UK over the coming week. The shutdown is expected to last until April 20. Elsewhere, production continues at the company's factories in India and Brazil, and JLR's joint-venture plant in China reopened at the end of February. • Bentley is closing its factory in Crewe, England, for four weeks, effective today. • Bugatti has put its atelier in Molsheim, France, on hiatus. No date was given for when assembly of its supercars might resume. • Mercedes-Benz on Monday will shut down its SUV factory in Alabama and its van assembly plant in South Carolina. Both will remain closed for a minimum of two weeks. Tesla yesterday revealed that it will suspend operations at its Fremont, California, vehicle assembly plant next week, on order from local officials there. Yesterday's factory closure announcements also included the U.S. assembly plants for Toyota (until April 6), Volkswagen (through March 29), Subaru (through March 29), and Hyundai (no time period specified). They join GM, Ford, Chrysler, Honda, Nissan, and Harley-Davidson, which earlier this week announced the suspension of production at their facilities. Plants/Manufacturing Bentley Bugatti Jaguar Land Rover Mercedes-Benz Volvo coronavirus

New Land Rover Defender aces Euro crash tests

While the 2020 Land Rover Defender has not yet been crash-test by U.S. safety agencies such as NHTSA or IIHS, we do now have results for Europe's NCAP crash tests and accident-avoidance tests, where the Defender earned the top rating of five stars. The Defender model used for NCAP testing was the 110 variant with right-hand drive. The NCAP regimen includes several different crash tests: an offset front crash test into a moveable barrier with both the vehicle and the barrier traveling at 50 km/hr (31 mph), a front crash test into a full-width fixed barrier at 50 km/hr (31 mph), a side-impact crash test with a barrier traveling at 60 km/hr (37 mph) hitting the driver's door, and a side-impact test where the car strikes a pole at 32 km/hr (20 mph). The Defender's scores for the adult occupant and for a child occupant were both 85%. Additionally, the agency looks at the severity of injuries of the vehicle striking a pedestrian, taking data for a pedestrian's head hitting the hood, and their upper and lower leg being hit by the front of the vehicle. There is also testing of the vehicle's automatic emergency braking system's ability to avoiding hitting a pedestrian and a cyclist under various scenarios. The efficacy of active-safety systems for avoiding collisions with other vehicles is also tested. The Defender's score for protecting pedestrians and cyclists was 71%. The driver assists scored 79%. Results for several European-market cars were released together with those for the Defender, the most noteworthy of which was for the Honda E. The electric city car fared less well than the big Land Rover, garnering a score of four stars overall. In the same battery of test, the Honda E scored 76% for adult occupant protection, 82% for a child occupant, 62% for protecting pedestrians and cyclists, and 65% for its driver assists. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.