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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.

Rolls-Royce shows off bespoke Wraith with interplanetary inspiration

Rolls-Royce is dangling yet another one-off Wraith far out of our reach — so far out of reach, one might even say it's not of this world. If you've ever dreamed of rolling around in your own private planetarium, well, one lucky Rolls-Royce customer in Dubai is about to be living your fantasy.  Bestowed with the tagline "Inspired by Earth," this Wraith draws its cues from more than just the Blue Planet. While the hood is adorned with an air-brushed scene of the Middle East as viewed from the heavens, this luxury coupe's overall aesthetic is decidedly interplanetary. The first hints of this can be seen in the hand-painted solar system incorporated into the pinstriping elements on the Wraith's flanks. “WeÂ’re used to clients bringing us grand visions for their Bespoke Commissions, but this provided a new perspective altogether. In our response to the brief, weÂ’ve worked at both the ‘macroÂ’ level, referencing the Sun and planets of the whole Solar System, and the much more personal ‘microÂ’ level, centring our view of the world on the place the customer calls home,” said Rolls-Royce Bespoke design chief Michael Bryden. Bespoke Rolls-Royce Wraith 'Inspired by Earth' View 9 Photos The artwork on the hood might be the highlight of a first impression, but if you ask us, Rolls-Royce buried one of the Wraith's coolest touches pretty deep in its announcement: a headliner embroidered with the solar system, floating like a magnified night's sky over the earth-themed elements of the cabin surfaces.  "The seats are made from Moccasin leather to mimic the sands of the EmiratesÂ’ deserts; Navy and Cobalto Blue accents are suggestive of rivers and lakes and Emerald Green piping symbolises nature in all its forms. Arctic White ‘RRÂ’ monograms and stitching hint at clouds and translucent running water," the announcement says.  The result creates the impression of gazing toward the heavens from Earth, which sounds like a tranquil cure for standstill traffic.  Related Video:

Rolls-Royce might 'enter into fuel cells'

Rolls-Royce released its first series-produced EV, the Spectre, in 2022, and the brand plans to launch additional battery-powered models in the coming years. It's not closing the door to other powertrains, however, and it's notably open to experimenting with hydrogen fuel cells. "Why not? I would say so when the time is right for us, and when the technology is so much advanced, that it is definitely something we would pursue as Rolls-Royce. Why not? We might exit batteries, and we might enter into fuel cells," company boss Torsten Muller-Otvos told British magazine Autocar. He stopped short of revealing whether engineers are currently testing hydrogen fuel cell-powered prototypes. It's too early to tell whether Rolls-Royce would develop a hydrogen fuel cell on its own or whether it would source some of the drivetrain's parts from parent company BMW, which has dabbled in this technology for decades. BMW notably began building an X5-based, hydrogen-powered prototype called iX5 in 2023, and it plans to ultimately funnel the feedback it gathers by testing the model into a production car. Muller-Otvos has already ruled out building a car powered by a hydrogen-burning engine, however. "I think a hydrogen combustion engine is nothing I would in any way look into, because that was tested already years ago. This is not the most efficient way to use hydrogen. If hydrogen will be used in the future, then it's fuel cells. And fuel cells are nothing different from a battery. It is just how you get the energy," he told Autocar, referring to the hydrogen-burning 7 Series prototype tested by BMW in the 2000s. Rolls-Royce, like nearly every brand looking at hydrogen technology, warns that the infrastructure needs to improve before the fuel cell can merge into the mainstream. "You can't obviously have hydrogen charging at home, whereas [with EVs] you have one big advantage, and all of our clients have big garages. There is lots of space at home and there is lots of space in office buildings to install charging," the CEO said. As it stands, Rolls-Royce wants to sell only electric cars by the end of 2030, and it hasn't announced plans to launch a series-produced hydrogen-electric model. It's not unreasonable to assume that this outlook could change during the second half of the 2020s, however.