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Mercedes calls CLA 'best launch in 20 years' as it warns dealers of tight supplies

It's still in the early going, but it's looking more and more like the 2014 Mercedes-Benz CLA is a verifiable home run for the German brand. According to a new report from Bloomberg, the new small car isn't just widening the sales gap between Mercedes and BMW, it's attracting a new, younger breed of customers into the brand's showrooms. But that early success is straining supplies of the turbocharged four-door.
Dealers have been warned that the first half of 2014 will see limited supplies for CLA, with a letter to dealers indicating that "tight inventories and low days supply" will exist from February through June, despite the car's Kecskemét, Hungary plant running at full tilt.
"This is our best launch in 20 years," said Steve Cannon, the US boss for Mercedes. "The CLA has been a phenomenal success right out of the gate." The numbers certainly support that. We reported in early October that Mercedes moved 2,300 CLAs in its first week on sale, and now Bloomberg is saying CLA sales were almost singlehandedly responsible for Benz's November sales gains. Mercedes' annual sales are up 14 percent through the November, and it's enjoying a healthy 7,600-car lead over BMW.

Recharge Wrap-up: Houston's bus revival, autonomous trucks on the Autobahn

A documentary shows how Houston, Texas significantly improved its outdated bus system. Called High Frequency: Why Houston is Back on the Bus, the short film describes how the city reimagined its bus system to become more efficient, more useful and more popular. Despite some opposition, the change has proven to be effective, with bus ridership up eight percent in three months, and light rail ridership up due to complementary bus routes. See the video above, and read more at CityLab. Automakers sent autonomous semi trucks on the German Autobahn as part of the European Truck Platooning Challenge of 2016. Mercedes-Benz, Volvo and Scania, among other groups, sent platoons of trucks between Stuttgart, Germany, and Rotterdam, Holland. In Mercedes's platoon of three trucks, the lead truck was fitted with lasers and other sensors to guide the convoy down the road. The two following trucks relied on vehicle-to-vehicle communication to trail 50 feet behind the lead, making room for cars to come between them and closing the gaps when able. The close following distance provides fuel economy gains of up to 10 percent in the rearward trucks on account of the reduction in drag. Read more at Hybrid Cars. Renault has reduced NOx emissions in its Euro 6b diesel vehicles in real world driving conditions. By improving its exhaust gas recirculation systems and NOx traps, nitrogen oxide emissions are cut in half on average, under certain driving conditions. The improvements will be included in vehicles leaving the factory beginning in July of 2016. Beginning in October, owners of Renault Euro 6b diesels can have the modifications added to their cars for free. Read more from Renault. Tata Technologies is creating an innovation lab in California to partner with EV technology companies. Having a tech center in California allows Tata to work on technologies that will largely be deployed in the company's main market of Asia. "Today, we are partnering with companies and startups who have aspirations to sell in China, but a lot of what they do is in California," says Samir Yajnik of Tata Technologies. Read more from The Economic Times. BMW's i Ventures is investing in mobility-as-a-service software provider RideCell. RideCell provides technology for services such as carsharing, ridesharing and other transit services. "The convergence of transportation trends in cities is of key importance to BMW," says Ulrich Quay, head of BMW i Ventures.

Mercedes widens luxury sales gap on strong early CLA demand

Mercedes-Benz CLA sales have been booming, with the Stuttgart-based manufacturer moving 2,300 of the sleek four-doors in its first week on sale. That is astonishing. Mercedes moved nearly twice as many CLAs (which start at $29,900) in one week than Jaguar, a brand that is on a very solid roll, sold in all of September. Ignoring the price differences between the Jag line and the CLA, that is still wildly impressive.
Mercedes has been pushing the CLA in television ads, using a shortened version of its Super Bowl spot, which starred William Dafoe, Usher and Kate Upton. "As the bargain entrance into the Mercedes portfolio, we weren't sure how luxury buyers would react," Kelly Blue Book auto analyst Alec Gutierrez told Bloomberg.
The CLA push was just part of MB's 6.7-percent increase in September sales, which were also helped along by a 17-percent jump in E-Class sales. That surge has allowed Mercedes to widen its 2013 sales lead over its rival, BMW, to 2,491 cars, according to Bloomberg. If CLA sales continue at this rate, we can only expect that margin to grow.