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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.

Mini Rocketman concept reportedly going into production as an EV

Remember the Mini Rocketman Concept from the 2011 Geneva Motor Show? If you don’t thatÂ’s OK, as itÂ’s been almost an entire decade since Mini pulled the wraps off. Despite the massive time lapse, Mini decided to revive the concept, not just for show. The companyÂ’s finally going to put the Rocketman into production, as an electric vehicle. We've heard this before, a few years ago, but nothing was set in stone. Now it seems a decision has been made. AutoCar in Britain recently learned that the Rocketman will fulfill its premise as the companyÂ’s first subcompact city car. The production model, scheduled for 2022, will reportedly be heavily reworked and built as a joint project with Chinese automaker Great Wall Motors. “WeÂ’re advancing plans for a model along the lines of the Rocketman. ItÂ’s a car we have been looking at for a long time, but to build it profitably at the price point we think customers are prepared to pay, you need a joint venture partner to share costs. Great Wall Motors has provided that opportunity with a shared electric car platform that will be used by Mini,” an anonymous “senior BMW official” was quoted as saying. The production Rocketman will retain its three-door hatchback design and is expected to serve as the manufacturerÂ’s newest entry-level model. It will be built by Great Wall Motors in Jiangsu, China, while BMW oversees the design and production with plans to sell it in all markets globally. When the Rocketman first surfaced at Geneva, it was essentially BMWÂ’s direct response to DaimlerÂ’s Smart ForFour. However, even with positive feedback from prospective customers, the project was shelved because development discussions between BMW and its initial partner, Peugeot, ended abruptly. The companies were reportedly going to share platforms and powertrains in another joint venture. In the new agreement with the Chinese company, the production model will apparently use a small-car platform used by Great Wall Motors called the Ora R1. The Peugeot-BMW project was going to use either a three-cylinder gas or diesel engine. But the new model will gain an all-electric powertrain by Spotlight Automotive as a part of BMWÂ’s massive plan to launch up to 25 new plug-in hybrid and all-electric vehicles by the end of 2023. One of those models is the newly released all-electric Cooper SE.

Mini JCW Paceman vs. BMW M135i in family faceoff

Over the last year, we've had the chance to drive two of the most exciting hatchbacks in the BMW family - the BMW M135i and the Mini Paceman John Cooper Works - but Autocar has managed to get the two corporate cousins together for a head-to-head comparison. Just like our initial impressions of the Paceman JCW, Autocar has little to complain about this new 215-horsepower hatchback... until it begins to factor in the faster, better-mannered and similarly priced M135i.
Despite laying down an extra 100 hp and delivering a 0-60 time that is almost two seconds quicker, the M135i carries the same price tag of 29,535 pounds in the UK; US pricing for the Paceman starts at $36,200, while it still isn't even clear if the US will be getting the M135i. Even more surprising is the fact that the Paceman falls short of the M135i in regards to rear seat and cargo volume, and just barely squeaks out a win in the fuel economy department. Scroll down to watch the BMW versus Mini hot hatch battle.