2002 Mini Cooper Base Hatchback 2-door 1.6l on 2040-cars

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The UK votes for Brexit and it will impact automakers

It's the first morning after the United Kingdom voted for what's become known as Brexit – that is, to leave the European Union and its tariff-free internal market. Now begins a two-year process in which the UK will have to negotiate with the rest of the EU trading bloc, which is its largest export market, about many things. One of them may be tariffs, and that could severely impact any automaker that builds cars in the UK. This doesn't just mean companies that you think of as British, like Mini and Jaguar. Both of those automakers are owned by foreign companies, incidentally. Mini and Rolls-Royce are owned by BMW, Jaguar and Land Rover by Tata Motors of India, and Bentley by the VW Group. Many other automakers produce cars in the UK for sale within that country and also export to the EU. Tariffs could damage the profits of each of these companies, and perhaps cause them to shift manufacturing out of the UK, significantly damaging the country's resurgent manufacturing industry. Autonews Europe dug up some interesting numbers on that last point. Nissan, the country's second-largest auto producer, builds 475k or so cars in the UK but the vast majority are sent abroad. Toyota built 190k cars last year in Britain, of which 75 percent went to the EU and just 10 percent were sold in the country. Investors are skittish at the news. The value of the pound sterling has plummeted by 8 percent as of this writing, at one point yesterday reaching levels not seen since 1985. Shares at Tata Motors, which counts Jaguar and Land Rover as bright jewels in its portfolio, were off by nearly 12 percent according to Autonews Europe. So what happens next? No one's terribly sure, although the feeling seems to be that the jilted EU will impost tariffs of up to 10 percent on UK exports. It's likely that the UK will reciprocate, and thus it'll be more expensive to buy a European-made car in the UK. Both situations will likely negatively affect the country, as both production of new cars and sales to UK consumers will both fall. Evercore Automotive Research figures the combined damage will be roughly $9b in lost profits to automakers, and an as-of-yet unquantified impact on auto production jobs. Perhaps the EU's leaders in Brussels will be in a better mood in two years, and the process won't devolve into a trade war. In the immediate wake of the Brexit vote, though, the mood is grim, the EU leadership is angry, and investors are spooked.

BMW shuffles chairs in its design department

BMW Group has made some changes to its design team since August 1, and has shuffled top personnel to different positions at BMW Design, Mini Design and Rolls-Royce.
The BMW Design team led by Karim Habib (middle, right) gains a new head of Exterior Design in Domagoj Dukec (right), who has worked for the exterior design team since 2010 and shaped the Concept Active Tourer.
Oliver Heilmer (left), who has worked for BMW's interior design unit since 2000 and designed the 5 Series interior, replaces Marc Girard as head of Interior Design BMW Automobiles. Marc Girard goes to manage BMW's subsidiary design group, BMW DesignworksUSA.

Mini may have overexpanded, some models may not be replaced

Surprise, surprise. According to Edmunds, Mini may be looking to reduce the number of vehicles in its range, which has recently expanded to include a total of seven offerings (not to mention the copious varieties of configurations found within each line). When Mini relaunched in the early 2000s, it did so with one model, the Cooper Hardtop, and has since added the Convertible, Clubman, Countryman, Coupe, Roadster and Paceman. It looks like those ambitions of expanding the range to include up to 10 models may have been a bit optimistic.
"When we start to replace models, I think you will see that we won't replace every model exactly," Jim McDowell, Vice President of Mini USA, told Edmunds in an interview. The brand's core models right now are the Hardtop and Countryman, and of the roughly 66,200 vehicles that Mini sold in the United States last year, these two vehicles accounted for some 75 percent of total sales.
McDowell declined to mention any specific models that may not be replaced in the lineup's next generation, though our best guess is that ultra-niche vehicles like the Coupe (pictured) or Clubman. As for replacing some of the current models with new products, the only clear gap we can see in the brand's lineup is a smaller car like the Rocketman concept, though we've been told several times that a mini-Mini isn't going to happen. Be sure to let us know what Mini models you'd like to see kept or axed in Comments below.