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Porsche models to be recalled across Europe

German authorities have ordered luxury car brand Porsche to recall 22,000 vehicles across Europe over emissions test cheating amid a widening election-year scandal. Transport Minister Alexander Dobrindt told reporters that "illegal" software disguising the true level of polluting emissions had been discovered in Porsche's Cayenne and Macan models, which must now be fixed. Dobrindt said that because the affected models are still being manufactured, Berlin would also deny any permits for the vehicles "until new software is available". Porsche spokesman Christian Weiss told Agence France-Presse at the time that the company "takes the prosecutors' investigation very seriously" and would "do the utmost to clear up the issue comprehensively and as quickly as possible".

Hyundai faces sales challenges in US, China

Hyundai Motor said its outlook remained clouded after its second-quarter profit fell on weaker demand in China, while its United States incentive costs increased. South Korea's largest automaker said it expects a tough second half due to slowing US sales. Second-quarter operating income dropped 24 percent to 1.34 trillion won ($1.2 billion), falling short of analyst estimates. Hyundai Motor's problems in the US and China - two SUV-loving markets where its sedan-heavy lineup has struggled - are compounded by the perception in China that it's sandwiched between premium foreign brands and more economical local offerings. The company plans to increase its supply of utility vehicle models and introduce a new luxury Genesis brand model in the second half.

BMW bases Mini plant in UK, despite Brexit

BMW will build an electric version of the Mini compact car at its factory in Oxford, England, choosing the UK site over alternatives in Germany and the Netherlands despite risks associated with the UK's vote to exit the European Union. Production of the battery-powered Mini will start in 2019, according to the German carmaker. The plant will make the car until at least 2023, a person familiar with the decision said. The new vehicle will be based on the underpinnings of Mini's core three-door model, with drivetrain components coming from BMW plants in Dingolfing and Landshut, Germany, the carmaker said. With the move, BMW joins tech companies in investing in Britain ahead of the country's departure from the European Union, even as investment banks relocate some operations.

Motoring - Agencies

(China Daily 07/31/2017 page19)