Mercedes closes gap with Audi by one-third on China sales surge.

Daimler's Mercedes-Benz slashed second-place Audi's luxury-car sales lead by almost one-third in the first two months of 2014 on surging demand for its models in China.

Through February, Mercedes was 26,647 sales behind Audi compared with 36,804 during the same period last year.

Mercedes posted a sales gain last month of 17 percent, propelled by a 74 percent jump in China. Audi's deliveries in February rose 7 percent.

"We are keeping up the high momentum of the previous months," Ola Kaellenius, Mercedes sales chief, said in a statement. "We have the right products at the right time."

Audi's two-month deliveries in China, including Hong Kong, jumped 13 percent, with February sales increasing 7 percent. European two-month demand rose 7 percent, including gains of 14 percent in Germany and 9 percent in the UK, Audi said today in a statement.

"In Europe, several markets are gaining stability at what remains a low level," Luca de Meo, Audi's sales chief, said in the statement. "In this region, we are already scoring with the new A3 sedan, which will also be launched in China and the United States -- its two most important sales markets -- in the upcoming weeks."

Mercedes is benefiting from demand for compact cars such as the CLA, A class and B class, as well a revamp of the flagship S-class sedan. Mercedes also plans this year to bring out a new version of the C class, its global best seller, and the all-new GLA compact SUV.

Daimler CEO Dieter Zetsche, who has a goal for Mercedes to surpass Audi and BMW to become the world's biggest maker of luxury cars by 2020, is rolling out 30 new vehicles by the end of the decade, a dozen of which will have no predecessor.

BMW, the world's No. 1 seller of premium cars, has yet to release February sales data.

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Europe's top ten brands by January unit sales, with % change from January 2013.

The Volkswagen Golf remained Europe's best-selling car after sales grew by 28 percent in January, according to market researcher JATO Dynamics.

At the same time a 9 per cent rise in sales lifted its smaller sister vehicle, the Polo, two positions to second place. An 8 percent increase left Ford's Fiesta in third spot. The fourth-placed Renault Clio and Peugeot 208 at No. 5 were both down in volume.

The new Skoda Octavia and Audi A3 also performed particularly well in January. Gaining 33 percent during the month, the Octavia climbed to sixth place.

In eighth place, Audi's A3 was the only top 10 model to better this, the recently expanded range recording an 84 percent increase. It was notable that models built on VW's MQB platform (Golf, Octavia and A3) accounted for 30 percent of the top 10 sellers and that there were just 1,772 units separating 2nd from 4th place.

VW brand No 1

With an 8 percent increase in volume in January to 122,801 units, Volkswagen remained Europe's top-selling brand. Ford held onto second place with a 9 percent gain to 67,869 units, while Peugeot, up 9 percent to 61,874 units, and Renault, up 4 percent to 59,315 units, moved up to third and fourth places respectively. In doing this they took advantage of an 8 percent setback for Opel/Vauxhall, mainly due to lower sales of the Astra in the UK and Germany.

Overall European new car sales in January rose 5 percent on the same month of 2013 to just over 965,000 vehicles. This was the fifth consecutive month in which sales rose, with 23 of the 30 country markets in the JATO analysis recording gains.

Germany and the UK continued to perform well, with year-on-year growth of 7 percent in the former to 205,996 units and 8 percent in the latter to 154,562 units. Unable to replicate December's double-digit growth, Spanish volumes still improved by 9 percent to 54,430 units. Italian sales rose 3 percent to 118,725 units, while France just managed to stay in positive territory, up 0.5 percent to 125,454 units.

Leaders of the pack

Europe's top ten brands by January unit sales, with % change from January 2013.

VOLKSWAGEN 122,801 +7.8% 
FORD 67,869 +8.5%
PEUGEOT 61,874 +9.4% 
RENAULT 59,315 +3.7% 
OPEL/VAUXHALL 55,048 -8.0% 
AUDI 54,195 5 +7.7%
CITROEN 50,213 +4.4% 
BMW 48,635 +1.2% 
FIAT 45,866 -2.4% 
MERCEDES 45,765 +0.7% 

Source: JATO Dynamics

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MINI to can the Roadster, Coupe and Paceman, about time too !

Mini may not replace its Coupe/Roadster and Paceman cars. Instead the BMW Group subsidiary will focus on three "pillar" models.

Mini needs to be “more relevant for more people,” Oliver Friedmann, the brand'a head of product management, told Automotive News Europe at the auto show here. “Our first priority is to roll out a portfolio that has strong pillars and to be absolutely clear what each stands for.”

Friedmann identified the Mini hatchback and the Countryman SUV as two pillars of the brand. The potential third pillar is a compact-sized model based on the Clubman concept shown in Geneva. If the concept is built, "it will be a separate strong pillar,” he said.

With the new focus, the hatchback-based Coupe and Roadster are unlikely to continue. “It’s not decided but most probably this is not a priority,” Friedmann said.

The Paceman, which is a coupe version of the five-door Countryman, could also be dropped when the Countryman is eventually replaced. "The Paceman is also not a first priority,” Friedmann said.

The Paceman was launched as a lower, more sporty version of the Countryman.

The Coupe/Roadster and Paceman are niche models for Mini.

According to researchers IHS Automotive, Mini sold 3,858 Coupes, 2,678 Roadsters, 7,485 Clubmans and 8,229 Pacemans in Europe. This contrasts with sales of 47,177 Countrymans and 78,102 hatchbacks.

“The Coupe and Roadster are selling far below where Mini’s key models are and I think in some respects are quite poorly executed,” IHS senior analyst Ian Fletcher told Automotive News Europe.

New Clubman

IHS predicts that Mini will launch the new Clubman based on the Geneva show concept in 2015.

The Clubman concept is 260mm longer than the current model and has four conventional doors instead of the current Clubman’s quirky single half-door arrangement that provides rear seat access.

Mini's latest-generation three-door hatchback is being rolled out at dealerships. It uses BMW's new front-wheel-drive platform and BMW's a new 1.5-liter gasoline turbocharged three-cylinder engine which has improved fuel economy and lower CO2 emissions.

Mini's Clubman concept, shown, is longer, wider and taller than the current Clubman.

A five-door version is likely to go on sale before the end of this year. IHS estimates the revised hatchback's extra appeal could push its sales to more than 100,000 this year

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Mercedes-Benz TV: Defying Death Valley in F-Cell B-Class

For more than two years the Hollywood stars Diane Kruger and Joshua Jackson have been enthusiastic drivers of the B-Class F-CELL, whose only emission is pure water. But they are not the only ones: The Mercedes-Benz B-Class F-CELL is becoming a popular and treasured endurance runner. In the USA alone, an F-CELL fleet made up of some 70 vehicles has covered more than 1.6 million kilometres - saving around 113,500 litres of fuel and almost 270 tonnes of carbon dioxide in the process. A total of around 200 vehicles have been with customers in the USA and Europe since 2010 and one of these vehicles already has 315,000 kilometres on the clock. Diane Kruger and Joshua Jackson are now showing in a film just how much potential the fuel cell drive system offers – on a trip in California's DeathValley, one of the driest places in the world. The film can be viewed at http://mb4.me/drive4water.

"We've become absolute fans of the fuel cell. The car is so easy to use. On a day-to-day basis our normal mobility isn't restricted at all - and we had no water problems in Death Valley either", reported Diane Kruger. "It takes three minutes to fill up, drives about 400 kilometres and gives off zero emissions - simply perfect", added Joshua Jackson. In the film “Defying Death Valley” the two of them are driving through the 50 degree Celsius heat of Death Valley – without any drinking water stock. Their lives rely on the emissions of the B-Class F-CELL. The Hollywood stars are using the water, resulting out of the operation of the F-CELL, for drinking and cooking.

The fuel cell as tomorrow's drive system, ready for series production

The B-Class F-CELL is the first fuel cell electric vehicle from Mercedes-Benz to be built under series-production conditions. The electricity required for driving is generated on board the car in a chemical reaction between hydrogen and oxygen. With a range of some 400 kilometres and short refuelling times of less than three minutes, the B-Class F-CELL combines emission-free mobility with absolute feasibility for use on long journeys and impressive performance.

Fuel cell technology is an integral component of Daimler's long-term drive system strategy, with emission-free mobility as the culmination of these efforts. "Our various projects in Germany, the USA and Norway and, not least, the Mercedes-Benz F-CELL World Drive, have shown that the time is right for fuel cell-powered electric vehicles and demonstrated the tremendous potential that exists for hydrogen as a source of energy. We are therefore all the more delighted that such well-known film stars have adopted a pioneering role in relation to this technology and call attention on the advantages of electric mobility", commented Professor Dr Thomas Weber, Member of the Board of Management of Daimler AG responsible for Group Research and Mercedes‑Benz Cars Development. During the Mercedes-Benz F-CELL World Drive of 2011, three B-Class F-CELL vehicles took 125 days to drive 30,000 kilometres through 14 countries on four continents, in a convincing demonstration of the everyday viability of this technology. Joshua Jackson was one of those who took part in the first circumnavigation of the globe with fuel cell cars, driving a section of the route in the USA.

As well as almost 200 B-Class F-CELL, Daimler AG has brought 60 A-Class F‑CELL, three Sprinter vans and almost 60 buses with fleet tests into the market since 2001. Until now the more than 300 fuel cell vehicles have driven around nine million kilometres altogether, providing proof indeed of the unrestricted everyday viability and durability of fuel cell technology. In early 2013, in a bid to speed up the widespread market availability of this emission-free technology and to reduce investment costs, Daimler, Ford and Nissan reached a cooperation agreement covering the joint development of a fuel cell system. The aim is to introduce a competitive fuel cell powered electric vehicle to market in 2017. It is envisaged that significant further progress will have been made by then, in particular towards creating a sustainable infrastructure – not least as a result of Daimler's high level of involvement in various demonstration projects and within the framework of the H2 Mobility Initiative. This initiative has recently agreed to expand the current network of 15 filling stations in Germany's public hydrogen infrastructure to about 400 H2 filling stations by the year 2023. This means that an H2 supply suitable for everyday use shall be created not only for densely populated areas and main traffic areas, but also for rural areas.

First the UK, Then China followed by Brazil, now Saudi Arabia, JLR expands worldwide.

JLR deal will see Land Rovers built in Saudi Arabia

A deal to see Land Rovers manufactured in Saudi Arabia could be signed within a month, the Post understands.Rapidly-expanding Jaguar Land Rover is set to sign up for a major manufacturing plant – eventually employing as many as 5,000 people – according to a high-level JLR source

Rapidly-expanding Jaguar Land Rover is set to sign up for a major manufacturing plant – eventually employing as many as 5,000 people – according to a high-level JLR source.

He said the proposals would see next generation of Land Rover Defenders built in the Gulf kingdom and exported to the Far East and beyond.

The move is part of plans to focus on building cars from aluminium – a resource Saudi Arabia is rich in.

It comes as JLR continues to extend its global reach amid soaring demand in emerging nations, with a factory in China currently being built and proposals for a plant in Brazil.

Speaking of the Saudi Arabia plans, the source said: “It will go ahead. They will make the new Defenders there initially.

“Aluminium is readily available there and the Defender production is stopping here and will be made there.

“The market there for vehicles like defenders is huge, as well as the Far East.”

He added: “It will initially be assembly, but they will make cars as new as it develops.

“It will eventually be four or five thousand people. Saudi Arabia as a country is also working on setting up the supply chain.”

The Gulf kingdom’s industry minister Tawfig Fawzan Alrabiah this week claimed the Midland car giant was exploring plans for a plant manufacturing both Jaguar and Land Rover cars.

The Post reported in 2012 that JLR had signed a letter of intent with authorities in Saudi Arabia which would see the two parties work on a detailed feasibility study to determine the viability of setting up an automotive facility.

The company said talks were at a preliminary stage at the time, although opportunities had already been identified in aluminium component production.

However, JLR declined to comment further when approached by the Post.

A spokesperson said: “We can confirm that a detailed feasibility study is under way to consider Saudi Arabia as a possible future location for a Jaguar Land Rover automotive facility.

“A letter of intent has been signed between Jaguar Land Rover and the National Industrial Clusters Development Programme to determine the commercial viability of setting up a financially sustainable automotive facility.”

Industry expert David Bailey said investment in Saudi Arabia was doubly rise for JLR – as not only is the Middle East a key export market, it is also crucial for supplies of raw materials.

Prof Bailey, who is professor of industrial strategy at the Aston Business School, said: “This would certainly be feasible, not only because of exports but also access to aluminium.

“They have gone for an all-aluminium strategy very clearly and Saudi Arabia is one of the biggest aluminium smelters in the world.

“It gives them access to a lot of aluminium, and a lot of expertise about it.

“There is also big growing demand in and around Saudi Arabia.”

Prof Bailey said that while reports of investment overseas often leads to fears over jobs in the West Midlands, JLR’s growth was sufficient that this does not pose a threat here.

He said: “You could understand why with expansion in China, Brazil and possibly Saudi Arabia, unions are concerned about the UK.

“They are right to ask questions, but this is about the global expansion of the company, which will be in the UK and overseas.

“The company is going to double in size in the new few years, but all of the research and development is still done in the UK.”

Jaguar to consider car smaller than the new XE, will it be feasible ?

Jaguar could consider a smaller car than its new XE saloon in the coming years, according to design director Ian Callum.

“I think it’s something we should investigate without compromising the brand values," he said. ‘It’s got to be true to Jaguar’s standing as having cool, fast performance cars that look fantastic."

However, he said its new architecture could not be adapted for any models smaller than the XE: “If we want to go smaller, we’d have to find another new platform."

Callum also said that he hoped plans for a SUV model, shown as the C-X17 concept at last year’s Frankfurt Motor Show, would go ahead: “I hope we do it because they’d be huge potential. The reaction to the car has been very good."

He added that he had initially been sceptical of the idea, believing Jaguar needed to focus on sporty saloons and coupes, but was now won over: “We did a lot of research and the world loves SUVs and crossovers, so we have to take the idea seriously."

NO F-TYPE TARGA

The designer, who created the acclaimed F-Type roadster and coupe, also quashed rumours that a F-Type Targa would be introduced: “It would only be 10% if our volume, which doesn’t justify for the investment."

Jaguar’s BMW 3-Series rival, the XE, will be the next focus for the brand, with the model expected to make up the most volume when it launches. While a handful of people that have glimpsed of the car have described it as a “baby XF", Callum said the car has “its own character" and is designed to appeal to a younger audience and to have “a bit of excitement".

The new Jaguar XE

A Jaguar spokesman said the car is a massive part of the brand’s growth, but that it wanted to keep its premium niche: “We want it to be our top-selling model, but we’re not trying to take a third of the segment."

UPDATED XJ COMING

The XJ is also rumoured to be receiving a facelift this year, after launching in 2010. However, Callum said that when an update is revealed, there will be no need to make any massive changes: “XJ sales are going well. We are selling more now than ever before," attributing some of its success to a halo effect from the arrival of the F-Type. “I love the XJ, it still looks fresh," he added.

Instead, Callum hinted that any updates would mostly be focused on in-car technology.

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QOROS out to challenge the best with a big push into Europe.

Chinese automaker Qoros Auto Co. is out to challenge Volkswagen Group, PSA/Peugeot-Citroen and other Europeans on their home turf, signaling a broader push by the country's car manufacturers to target Western customers.

Qoros, a joint venture between China's Chery Automobile Co. and Tel Aviv-based holding company Israel Corp., presented the 3 compact hatchback at the Geneva auto show this week, a year after creating buzz at the show with a sedan version of the car, its first model ever.

The hatchback will compete directly with the VW Golf, while the sedan takes on the VW Jetta. The models are part of a broader rollout that will include a crossover later this year as Qoros widens its lineup to at least five vehicles.

The expansion, which follows Chinese automaker Great Wall Motor Co.'s entry into Bulgaria, is the biggest effort yet by one of the country's carmakers to crack Western markets.

"We have the big advantage that we're starting from scratch, from zero," said Stefano Villanti, head of sales and product strategy. "We have no legacy, no baggage. We have the luxury of looking at the car world with a fresh eye."

VW, Europe's biggest automaker, and other Western carmakers in recent decades helped develop China's auto industry by teaming up with local manufacturers, a move required by the government to produce in the world's largest auto market.

Those Chinese companies are now increasingly eager to expand abroad. Dongfeng Motor Corp. agreed last month to buy a 14 percent stake in PSA, Europe's second-largest carmaker, to gain technology to develop its own brands.

Zhejiang Geely Holding Group Co. bought Sweden's Volvo Car Corp. in 2010 and Manganese Bronze, the maker of London's iconic black taxis, in 2013.

European design

"We will eventually see more Chinese brands coming into Europe," said Tim Urquhart, an analyst with IHS Automotive in London. "It won't be an overnight flood. It's going to be a very slow and gradual process."

Qoros will begin its European push in Slovakia, with most of the brand's sales probably still coming initially from China. Global deliveries are forecast to increase to 188,200 vehicles by 2020 from about 34,000 this year, IHS estimates.

The 3 hatchback that debuted this week in Geneva is 90mm (3.5 inches) longer than the Golf and, with 156 hp, boasts almost twice the power of the VW model's base version.

Qoros' 3 sedan, which started deliveries in Slovakia earlier this year, costs 20,960 euros ($28,790). While the Golf starts at 17,175 euros, a car with similar power costs 27,250 euros. The hatchback's price hasn't been released yet.

VW attention

"Qoros is shooting into a segment which is the toughest and most fiercely contested segment at the moment," said Thomas Schiller, a Munich-based partner with Deloitte. "Qoros's approach is very ambitious. They'll need a lot of staying power."

The 3 sedan drew the attention of VW CEO Martin Winterkorn at Geneva last year. He made the car one of his stops on a tour of the show floor, reviewing the interior and checking gaps between body panels.

VW said it doesn't comment on competitors, when asked about Qoros. The 3 hatchback features an 8-inch touchscreen and a cloud-connected platform that enables the customer to access social networks and book service appointments.

"Our connectivity is something where we are unique," Volker Steinwascher, deputy CEO, said in an interview in Geneva. "Young customers don't want to lose their mobile-phone connection."

Qoros, founded in 2007, produces its cars at the company's plant in Changshu, about 100km (62 miles) northwest of Shanghai. The facility has initial capacity to produce 150,000 vehicles annually and can expand to 350,000 if needed.

Munich design

Israel Corp., which also owns stakes in the chemicals, energy and shipping industries, got involved as part of its goal of investing in companies in emerging markets with high-growth potential.

Qoros, which has a design center in Munich and engineering facilities in Graz, Austria, is tapping European expertise, including hiring former executives from VW and BMW Group, to woo the region's buyers.

Qoros's vehicles were created under Gert Hildebrand, a former BMW designer who oversaw Mini's resurgence. The underpinnings were made in close cooperation with Magna International's Magna Steyr unit, which assembles cars for Mini and Daimler's Mercedes-Benz.

"We developed the car together with Qoros to be absolutely the benchmark," said Karl-Friedrich Stracke, responsible for vehicle technology and engineering at Magna Steyr. "They have a very good chance to get this done."

5-star rating

The Qoros sedan was awarded a five-star score in EuroNCAP safety testing, after getting the best results of all vehicles tested by the government-sponsored agency in 2013.

The brand is seeking a foothold in Europe by targeting Slovakia because the country has no domestic nameplate with which to compete. With 324 cars per 1,000 inhabitants, the country has the fourth-lowest vehicle density in the European Union.

That gives the Chinese brand potential to carve out a niche as the market catches up to neighbors. A wider expansion in the region is still two to three years away, Villanti said.

"It's very sensible that they are not aiming for a broad rollout in Europe, which would burn all their money," said Ferdinand Dudenhoeffer, director of the Center for Automotive Research at the University of Duisburg-Essen. "They are taking a cautious approach and gaining experience in Slovakia."

The brand's push comes as the Europe starts a gradual recovery. A six-year contraction, stemming from the sovereign-debt crisis, forced the region's nameplates to close plants and cut spending as demand dropped to a two-decade low.

Interesting adventure

Even with growth now in the cards, competition remains intense. Stephen Odell, Europe chief at Ford Motor Co., whose Focus compact will compete with the Qoros, said in Geneva that he saw no signs of pricing pressure easing.

Qoros also faces reinvigorated rivals. Peugeot won the 2014 European Car of the Year award with its 308 hatchback, which is in the same segment as the 3 hatchback.

"I find this business case and adventure very interesting," Peugeot brand CEO Maxime Picat said of Qoros during an interview in Geneva. "It can become a nice success story or, on the contrary, it could fail, being considered as a Chinese carmaker in Europe."

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BRAZIL/USA - Chrysler group announces new Brazil plant to boost profits by 2017

Fiat Chrysler Automobiles expects a new plant in Brazil to boost its profitability in that market by 2017 after a cut to subsidies and currency effects hit profits there last year, CEO Sergio Marchionne said.

"I'm absolutely convinced that by 2017, which will be the first year of full production at the Pernambuco plant, we will return to making double digit margins in Brazil," Marchionne told journalists at the Geneva auto show. He did not say whether the margins referred to profits or sales.

The Pernambuco plant, which will open next year, will produce models that better match market demand, Marchionne has said. It will build the small Jeep Renegade and other models. Production of the Renegade has already started at a plant in Italy.

Brazil used to account for about one fifth of Fiat profit, helping to offset losses in Europe, but an end to car sales incentives, higher input costs and currency effects have weighed on profitability in the region.

FCA, created after Fiat took full control of Chrysler in January in a $4.35 billion deal to create the world's seventh-largest auto group, cut its 2014 profit forecast after an 80-percent slump in Latin American core earnings in the final quarter of 2013.

Separately, Marchionne said he was optimistic about the market recovery in Europe, but added he did not think underlying problems of oversupply had been cured, and cuts in production were needed for the recovery to gain momentum.

"Supply issues still continue to be a big problem in Europe and we've only partially dealt with that," he said.

Marchionne expects a new strategy focusing on high-end car brands such as Maserati and Alfa Romeo for exports to help override some of the weak demand in its traditional markets, especially Italy. A new industrial plan outlining new models and investments will be presented in May.

The carmaker expects to keep the production of its sporty Alfa brand in Italy, Marchionne said, adding that productivity at the Italian plants had improved greatly and was on a par with other production sites in eastern Europe.

"It's not a nationalistic thing, but there are some things that belong to a place," Marchionne said, adding that, at least in his time as CEO, Alfas would be assembled in Italy. "Alfa Romeo belongs to Italy as Maserati and Ferrari do."

Marchionne said the first new Alfa to be developed under the new plan would be produced before the end of next year.

Financing options

Marchionne said a convertible bond remained among FCA's options to boost capital and help fund the shift upmarket that will help it break even in Europe by 2016. A decision on the bond or another option may be announced with the May plan.

Fiat's financing has been a key concern among analysts who fear the group may struggle to find all the cash it needs to revamp idled plants in Italy and roll out a whole range of Alfa Romeos and Maseratis at the heart of its recovery plan.

"Whatever will happen (on the financing), it will happen after we've finalized the merger, moved the listing to New York ... so it will take until at least the fourth quarter if not until next year," Marchionne said.

The CEO reiterated a share issue was not feasible in the current market conditions. Listing or selling parts of its luxury brands Ferrari and Maserati would remain an option for the future, but would not be part of the May plan, he added.

FCA plans to list the merged group in the United States as of October 1, but acknowledged it may be tough to do so.

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After Jag Can the XK - Will FIAT Dump Lancia ?, the rumours are it will !

The future of the Lancia brand and its integration with Chrysler will become clear on 6 May, Fiat Chrysler Automobiles chief Sergio Marchionne has revealed at the Geneva motor show.

When Fiat and Chrysler first got together, Marchionne saw close synergies between Lancia and Chrysler, and launched a glut of badge-engineered Chryslers as Lancias in Europe.

In the UK, the reverse happened, with Chrysler models joined by badge-engineered versions of the Ypsilon and Delta.

The plan has not been a success, with Marchionne confirming earlier this year that all the Lancia-badged Chryslers were to be axed, along with the Delta, meaning Lancia would have just one model, the Ypsilon, which would only be sold in Italy.

This is set to be rubber-stamped in May when Marchionne reveals the future model plans for all brands in the newly created Fiat Chrysler Automobiles empire. The plan is also set to reveal whether or not the Ypsilon will be replaced after its current generation.

“I will shed more light on Chrysler in Europe in May,” said Marchionne. “We have curtailed our ambitions for Lancia. I’m going to be saying things that will hurt old Lancia people. The market has moved on and not every opportunity can be realised, we can’t cede to every demand.

“There will be some reshaping of activities and we need to make money.”

REPORT HERE

SAD DAY - It has been confirmed by Jaguar that the Iconic XK range will cease production.

Jaguar’s flagship XK sports car will cease production this summer to make way for a wave of new Jaguar models

After eights years on sale and 54,000 cars sold, the Jaguar XK is no more. Production of the Coupe and convertible will cease this summer, Jaguar has confirmed.

Jaguar is calling the decision part of a “wider strategic vision and product planning cycle,” but in reality sales in the luxury GT segment have shrunk dramatically in recent years, to the point where the XK now only accounts for 4,000 sales a year worldwide.

With the F-Type Roadster and Coupe now in showrooms, Jaguar feels confident that customers after a luxury sports car are catered for. It also needs extra capacity in its factories to prepare for a wave of new models based on the new iQ[Al] aluminium platform.

 The XE will be the first – the first Jaguar to be built at JLR’s Solihull plant in a brand-new facility - and will go on sale in early 2015. A production version of the C-X17 SUV concept will follow, possibly in 2016, with replacements for the XF and XJ after that.

A replacement for the XK isn’t out of the question, but a low priority right now. According to a Jaguar insider a flagship 2+2 sports car is desirable but not before the foundations are right. “The focus is on the F-Type right now followed by an SUV and 3, 5 and 7 Series rivals.”

TMW THOUGHTS

It really is a very sad day indeed, the Iconic XK supercar has been canned, its lineage can be traced back to the late 1940's and the stunning XK120, through to the XJS of the 70's-80's and XK8 in the 90's to 00's and the car we have today, it has been a great run of some of Jaguars most beautiful cars, and we end with the stonking Jaguar XKR-S GT, A full report of the History will be made later, in the mean time, drool over the last great car supercar that Jaguar are building.

AUTO EXPRESS + JON MOWER

USA - FIAT 500 1957 Limited Edition harks back to Fiat's Golden era.

• Order allocations open this week, with the 2014 Fiat 500 1957 Edition arriving in studios in late spring
• New 2014 Fiat 500 1957 Edition offers vintage Italian styling starting at $20,400 U.S. MSRP
• Limited-production model builds on the Fiat 500's storied past with unique exterior and interior design elements
• Novel exterior appearance, three classic exterior colors, 1957-era body color wheel design, Bianco-painted roof and vintage "FIAT" emblems pay homage to the historic Fiat Nuova 500

Italian car and design fans looking for a taste of the historic Cinquecento won’t have to wait much longer. Today the FIAT brand opened orders for the 2014 Fiat 500 1957 Edition, arriving in FIAT studios nationwide in late spring. Pricing for this well-equipped limited-production model starts at $20,400 U.S. MSRP, just $1,900 more than a base Fiat 500 Lounge.

"Combining iconic Italian design and vintage styling with modern European technology, the 2014 Fiat 500 1957 Edition is inspired by the spirit of the original 1957 Nuova 500 and offers customers the opportunity to own and drive a vehicle that celebrates Italian automotive history,” said Jason Stoicevich, Head of FIAT Brand for North America, Chrysler Group LLC.

The Fiat 500 1957 Edition includes a sport-tuned suspension for improved handling, 16” forged aluminum wheels with a retro body color design, throwback “FIAT” badging and a premium Marrone (brown) and Avorio (ivory) leather interior.

The model is available in three classic exterior colors: Bianco (white), Verde Chiaro (light green) and exclusive Celeste (celestial blue). For a two-tone look, Verde Chiaro and Celeste exteriors are paired with a signature Bianco painted roof and mirror caps.

About the 2014 Fiat 500 1957 Edition
There's a romance about Italian cars, brands, fashion and design that make goods from this artisan nation among the most coveted around the globe. Since 1957, the Fiat 500 has embodied all four, empowering the Cinquecento to become one of the most iconic automobiles of all time. Fifty-seven years later, and with sales in more than 100 countries, the 2014 Fiat 500 1957 Edition commemorates its roots in uniquely crafted detail.

Based on the 2014 Fiat 500 Lounge model, the 1957 Edition enhances its iconic silhouette with a vintage look, thanks to classic exterior colors for this limited-edition Cinquecento, including Bianco (white), Verde Chiaro (light green) or Celeste (celestial blue). Inspired by the 1957 Fiat "Nuova" Cinquecento, an exclusive 16-inch retro wheel design features a wide chromed lip, body-color accent and large center cap with historic "FIAT" emblem. For improved handling, a sport-tuned suspension and all-season performance tires are standard. Completing the look are throwback "FIAT" badges on the front fascia and rear liftgate.

 Continuing the 1957 Edition's vintage look is an Avorio (ivory) interior environment contrasted by premium Marrone (brown) leather seats. Avorio accent stitching vertically crosses the seatbacks and seat cushions, while detailed stitching at the perimeter adds to the Cinquecento's craftsmanship. For added contrast, Grigio (grey) door panels feature a unique Avorio inner panel, while Marrone door armrests and shift boot (with manual transmission) are color-keyed to the leather seats for a harmonious look. An exclusive Avorio leather-wrapped steering wheel is hand-stitched with Marrone leather on the "inner ring," and features a retro "FIAT" badge, illustrating how FIAT brand takes craftsmanship to heart. Adding to the historic theme is a uniquely styled key fob with Marrone casing and Avorio-painted "1957" graphic. For driving enjoyment, the six-speaker and 276-watt FIAT premium audio system with SiriusXM Radio is also included. 

The 2014 Fiat 500 1957 Edition features the innovative 1.4-liter MultiAir engine and C514 five-speed manual transmission, delivering an EPA estimated 31 miles per gallon (mpg) city and 40 mpg highway. Like all FIAT products, engaging dynamics are essential, and the 1957 Edition includes a driver-selectable "Sport" mode on the instrument panel to unleash a more aggressive throttle map. Additionally, an optional six-speed automatic transmission with driver-selectable gear changes is also available. In Sport mode, the automatic transmission offers a more aggressive shift schedule and throttle map for improved engine responsiveness.

About the historic Fiat Nuova 500
The Nuova 500 was the fruit of a strategy designed to develop and revamp Fiat's product range, embarked upon by the company during World War II. While the city of Turin was still being targeted by Allied air raids, and the company's Mirafiori offices were occupied by German troops, Vittorio Valletta, Fiat Managing Director and later company Chairman (after the death of Fiat's founder Giovanni Agnelli), asked Dante Giacosa to start thinking of new cars that could go into production after the war. The result would be the Cinquecento, an automobile that delivered on its mission to provide efficient and affordable mobility during Italy's period of rebuilding and economic recovery.

The Fiat Nuova 500 was "the right car at the right time," and on July 4, 1957, the hatchback marked the rebirth of FIAT and its product range. Exactly 3,893,294 examples of the historic Cinquecento were built between 1957 and 1975, helping to provide an attainable car for Italians and numerous other Europeans. After 18 years of production, the last Fiat Nuova 500 was built on August 4, 1975, at the SicilFiat plant in Termini Imerese (Palermo, Sicily).

Alonso looking forward to First Free Practice at ALbert Park, Melbourne.

With a week to go until free practice gets underway in Albert Park, Alonso is training hard to be as well prepared as possible when the Ferrari F14 T makes its race weekend debut. Fernando has tackled an all-encompassing training regime including running, cycling, karting and even football, which is a particular passion of the Maranello driver. 

However, his mental focus is already on the Melbourne track and all the unknown factors that involves. “We come to the start of this championship with the team having had twelve days of testing, while as a driver I’ve had six. A few more days would have been useful given how much has changed for this season. With every lap of testing we learned something and improved pretty much constantly. I think that will still be the case in Australia, especially on the first day and then actually in the first few races.”

There are the usual unknowns because the cars are still new, but there are also those linked to the rule changes. “The new Formula 1 rules are very different to what we were used to. I think the concept of what constitutes a Grand Prix will actually change this year, with Saturday and Sunday being very different from one another. In qualifying, one will be able to get everything out of the car, pushing the new power unit to the limit, trying to get the absolutely best result. But in the race you won’t get anywhere near that level. Last year, towards the end of the races, on new tyres, you could do very quick lap times, whereas in the closing stages this year, you will have to bear in mind how much fuel you have left, the state of the batteries and that of the tyres. You will need to be very clever to manage these parameters and the new race strategies could see drivers being unable to go flat out to the end.”

Alonso also had a thought for those watching the races at home. “As drivers, we will get used to it quickly and so I hope these rules aren’t immediately overturned and that they stay unchanged for a few years. Otherwise the spectators could lose confident in this new Formula 1 which is very complex, even for the viewer.”

Felix Baumgartner to drive AUDI R8 at Nurburgring 24 hour.

• Austrian extreme athlete starts racing career

• Audi race experience as seasoned campaign team
• Le Mans winners as prominent team-mates

Following his stratosphere jump in 2012, extreme athlete Felix Baumgartner is tackling his next big challenge on the Nordschleife of the Nürburgring. The Austrian will obtain a racing license and become a race driver with the Audi race experience team on the Nürburgring-Nordschleife. 

The Audi race experience makes it possible for Audi’s customers with sporting ambitions to enter racing. But never before has the program, which the Audi driving experience has been running since 2010, had as prominent a driver as this one. “It’s fantastic that we’re cooperating with Felix Baumgartner this year,” says Klaus Demel, the head of the Audi driving experience. “As an extreme athlete, Felix Baumgartner has been thrilling millions of fans around the world with his daring actions that combine ingenuity and exceptional technical demands. Now we’re familiarizing him with our sport, offer him a professional environment with our team, and are very excited about this new, joint challenge.” 

As a guest entrant, Baumgartner has been gathering some racing experience in recent years during occasional runs in the one-make cups of the Volkswagen Group. The big difference in the 2014 season: the Audi R8 LMS ultra provides him with a 419 kW (570 hp) ‘pure-bred’ GT3 race car. The 44-year-old is completing an extensive preparation program before competing in the 24-hour race at the Nürburgring on June 21/22, 2014. His team-mates are equally prominent: The five-time Le Mans winner Frank Biela (D), the three-time Le Mans winner Marco Werner (D) as well as the GT and sports car pro Pierre Kaffer (D) will be his colleagues in the cockpit.

 “This task is totally exciting and I’m looking forward to driving races in an Audi,” says Felix Baumgartner. “During initial tests in the road-going Audi R8 I got to know the Nürburgring, and in the Audi R8 LMS ultra I’ve clocked a few kilometres on various tracks as well. I regard this task as one of the major projects in my life. The environment is perfect, the atmosphere is fantastic, and I feel really well taken care of by the Audi race experience. But it’s also clear that I’m basically starting from scratch because this sport is new for me.”

Former professional rally driver Josef ‘Sepp’ Haider, now the Audi race experience’s sporting director, is one of the instructors of his Austrian compatriot. “Felix is approaching his new task in exactly the manner that is the hallmark of a pro,” says Haider. “He’s eager to learn, has good judgment of the physical conditions, and is totally motivated. All team members have come to respect him in the initial tests. I’m very much looking forward to our joint journey.”

The team will be fielding another R8 LMS ultra in the 24-hour race. The drivers of this car have already been confirmed. Already last year, Dominique Bastien (USA), Rahel Frey (CH) and Christian Bollrath (D) formed a team. Christiaan Frankenhout (NL) will be supporting the Audi race experience as a driver for the first time.

Felix Baumgartner’s 2014 Nürburgring program:

March 21–22 VLN, test and setup runs
April 05–06 Qualification race, Nürburgring 24 Hours
April 26 VLN, 56th ADAC ACAS H&R Cup
May 17 VLN, Adenauer ADAC Simfy-Trophy
June 21–22 Nürburgring 24 Hours