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Automakers face reality of EVs' cost — to jobs, and their bottom line

Related: We obsessively covered the Frankfurt Motor Show — here's our complete coverage FRANKFURT, Germany — European car bosses gathering for the Frankfurt auto show are beginning to address the realities of mass vehicle electrification, and its consequences for jobs and profit, their minds focused by government pledges to outlaw the combustion engine. As the latest such announcement by China added momentum to a push for zero-emissions motoring, Daimler, Volkswagen and PSA Group gave details about their electric programs that could give policymakers some pause. Planned electric Mercedes models will initially be just half as profitable as conventional alternatives, Daimler warned — forcing the group to find savings by outsourcing more component manufacturing, which may in turn threaten German jobs. "In-house production is almost irrelevant to the consumer," Daimler boss Dieter Zetsche told reporters on the eve of the Frankfurt Motor Show, in the midst of a German election campaign in which automotive jobs have loomed large. The company set a target of saving 4 billion euros ($4.8 billion) by 2025 to help fund the cost of its electric cars. "Daimler is the first company to state explicitly how much electric vehicles are going to hurt margins," said Bernstein analyst Max Warburton. "It was brave to go first — but of course it won't be the last." Volkswagen, for its part, said it was seeking new global supplier contracts to source 50 billion euros ($60 billion) of electric car content including batteries, which are not yet manufactured competitively in Europe. "A company like Volkswagen must lead, not follow," Chief Executive Matthias Mueller told reporters. VW diesel emissions-cheating exposed by U.S. regulators in 2015 triggered global public outrage, dozens more investigations into test-rigging by the wider industry and a push by some lawmakers to ban diesel and eventually all engines. TIGHTENING NOOSE Tesla shares jumped nearly 6 percent on Monday after a Chinese minister said it was a question of when, not if, Beijing bans fossil-fuel cars, tightening the noose around the combustion engine. France and Britain have promised its outright abolition by 2040. But PSA, the maker of Peugeots and Citroens, said it was concerned about the risks if consumers were left behind in the rush, and a new generation of battery cars does not sell.

Maybach officially discontinues all models for 2013

The word "Maybach" has joined the long list of synonyms for the word "kaput." Mercedes-Benz released the price list for the 2013 models of its super-luxury sedans, with the price column simply stating "Discontinued" for each one of them.
The 2012 models, should there be any left for 11th-hour buyers, maintain the increased MSRPs that Daimler slapped on them late last year after it was known the brand would be terminated next year. But you might still be able to wrangle that $100,000 rebate if you ask nicely, or in Russian, or have Rick Ross ask for you.
It shouldn't be too long before we see the ultimate version of the next generation S-Class, the S600 Pullman, that will replace Maybach. Intriguingly, it's said the Pullman will be offered with every S-Class engine, even the four-cylinder diesel.

Mercedes Sprinter updated to take on Ford Transit, Ram ProMaster

By the end of this year, the Mercedes-Benz Sprinter will be the second-oldest nameplate in its segment here in the States, but with hot new competition waiting in the wings, Mercedes-Benz is giving its hauler a freshened look and more equipment to stave off rivals. The Sprinter was a pioneer in bringing Euro-style delivery vans to North America, and it's inspired others to transplant their Continental offerings, with the all-new Ford Transit and Ram Promaster models launching shortly. It will also continue to do battle with lower-cost traditional competitors like the Chevrolet Express and Ford E-Series.
The big Sprinter will thus get a new look to go with more safety features and available technology. While the information released here technically covers the Euro-spec 2013 Sprinter (which goes on sale in September), the US market is expected to get the new Sprinter for the 2014 model year with many of the same features. Some of this new technology includes a Crosswind Assist feature as standard equipment and the availability of Collision Prevention Assist and Blind Spot Assist as optional safety measures - Mercedes-Benz says that all three are firsts for any van in the world. Also added to the updated Sprinter is a new 1.8-liter supercharged gasoline (or CNG) engine producing 156 horsepower, which will complement the line of diesel engines that carry over and help make the Sprinter the first cargo van to meet the upcoming Euro VI emissions standards. Additionally, a lower ride height is said to improve fuel economy and should improve handling while aiding ingress and egress for both people and cargo.
In terms of styling, the Sprinter's new face also looks more like the current line of Mercedes-Benz passenger cars. This includes a more upright grille along with changes to the hood, headlights and bumper that lend it a closer kinship to models like the CLS-Class and the updated E-Class. The Sprinter will offer both halogen and HID headlights, while the latter will get LED running lamps and offer Highbeam Assist. The images shown here only reveal the exterior from front angles, but it looks like few, if any, changes have been made to the rear of the van. Interior upgrades include a thicker steering wheel, a new shift lever and the latest in audio, navigation and entertainment systems. Scroll down for the official press release for the new Mercedes-Benz Sprinter.