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Look Out, Germany — The Tesla Model 3 Is Coming (Video)

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Published on January 5th, 2019 |

by Matt Pressman

Look Out, Germany — The Tesla Model 3 Is Coming (Video)

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January 5th, 2019 by Matt Pressman

Originally published on EVANNEX.

It’s hard to argue that Germany isn’t the heartbeat of automotive excellence. That said, an invader is coming (soon) to its home turf. According to Automotive News Europe, “Tesla will start the European rollout of its Model 3 in February, putting pressure on German premium brands that have seen the Model S outsell flagship sedans such as the Mercedes-Benz S class.”

Gibbs reports, “The Model 3 will cost 63,000 euros ($72,000) in Germany for the long-range battery pack version, a German Tesla dealer said. The Performance version, which adds a second electric motor, will also be sold in Europe. The German dealer wouldn’t comment on the price of the Performance version but a UK dealer estimated it would cost around 72,000 pounds ($92,000). The prices don’t include local purchase incentives for electric cars.”

Looking ahead, “First deliveries of the Model 3 in German-speaking markets will go to Switzerland, the German dealer said. Norway will also see cars in February, according to a tweet from a Norwegian on the reservation list.” Gibbs notes, “Customers without reservations will get a car quicker if they choose the more expensive Performance version, the German dealer said. Customers ordering the less expensive version would receive their car in the summer, the dealer said.”

Watch as Tesla decides to surprise Model 3 reservation holders in Germany (Youtube: Tesla)

Gibbs writes, “Among full-electric cars, the Model 3 will go up against the Jaguar I-Pace and the Audi e-tron, which are both being rolled out in Europe. It’s also likely to cannibalize sales from Tesla’s own range, especially the Model S, among customers who want the latest electric car and are less concerned about the category it sits in.” [Editor’s note: That has apparently note been the case in the US, where the Model 3 has already seen ~140,000 sales.]

How are Tesla’s sales in the region with its larger sedan, the Model S? According to Gibbs, “The Model S now outsells the range-topping sedans from Mercedes, BMW, and Audi in their European home markets. In the first 10 months, the Model S has sales of 13,209 in Europe, according to JATO Dynamics market researchers. The No. 2 seller was the [Mercedes] S class with a volume of 12,688, followed by the BMW 7 series with sales of 8,221 and the Audi A8, which sold 4,854 units.”

A Tesla Model S in Germany. (Image via Tesla Shuttle)

However, the company’s Model X SUV hasn’t been quite as successful as its Model S. Gibbs reports, “Tesla also sold 8,801 units of its Model X SUV in Europe through October, according to JATO data.” However, “A smaller SUV badged Model Y will be unveiled next year, Tesla CEO Elon Musk has said.”

About the Author

Matt Pressman is all about Tesla. He’s a TSLA investor, pre-ordered the Model 3, and loves driving the family's Model S and Model X company cars. As co-founder of EVANNEX, a family business specializing in aftermarket Tesla accessories, he’s served as a contributor/editor of Electric Vehicle University (EVU) and the Owning Model S and Getting Ready for Model 3 books. He writes daily about Tesla and you can follow his work on the EVANNEX blog.

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Interview: Ola Källenius – Mercedes-Benz in 2020 – GTspirit

Ola Källenius, current member of the board of Daimler AG, is on track to become the next CEO of Daimler when Dr Zetsche signs off before the end of this decade. During our recent visit to the New York Auto Show we caught up with him to discuss the vision for Mercedes-Benz in 2020. But… Continue reading Interview: Ola Källenius – Mercedes-Benz in 2020 – GTspirit

No buybacks: FCA settlement for Ram pickup, Jeep Grand Cherokee Ecodiesel owners

2014 Ram 1500 EcoDiesel, Bear Mountain, May 2014
In a case involving diesel-powered Jeep Grand Cherokees and Ram pickups from 2014 to 2016, Fiat-Chrysler has entered into a settlement remarkably similar to the Volkswagen diesel settlement.

The big difference is that Fiat-Chrysler won't buy back any trucks or SUVs, because all the vehicles are capable of being brought into compliance with emissions requirements by updating their software, says class-action settlement administrator Elizabeth Cabraser.

In the class action settlement, owners, of 2014 to 2016 Jeep Grand Cherokee and Ram EcoDiesels will receive up to $3,075 in compensation for buying the trucks that did not live up to their “EcoDiesel” labels. Lessees and former owners can receive payments of up to $990.

2014 Jeep Grand Cherokee EcoDiesel, New York City, Jan 2014

The settlement amounts are designed to compensate owners for the cost of the “diesel premium” they paid for their cars above what a comparably equipped gas-powered model would have cost.

Owners will also receive limited extended warranties of up to 10 years/120,000 miles from the original date of purchase of 4 years/48,000 miles from the date they get their car's emissions software updated.

To receive the settlement, owners will have to take their vehicles back to a Jeep or Ram dealer to have the software updated to clean up their emissions of nitrogen oxides, a major contributor to smog.

DON'T MISS: Fiat Chrysler to end diesel engines in cars by 2022 (but not trucks): report

Former owners and lessees will be eligible for lower settlement amounts.

Cabraser, says the software update is not expected to affect either the vehicle's performance or fuel economy.

2014 Ram 1500 EcoDiesel

Under the settlement decree, FCA is required to repair at least 85 percent of the vehicles or face fines of $6,000 per vehicle that isn't repaired.

The settlement, and the fix, apply to 2014 to 2016 Jeep Grand Cherokees and Ram 1500 pickups with the 3.0-liter V-6 EcoDiesels. It does not apply to a different emissions recall for larger Ram 2500 and 3500 pickups with a 6.7-liter Cummins diesel inline-6.

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In addition, the FCA will pay $400 million in criminal fines with the U.S. Justice Department and California's office of the Attorney General as well as civil penalties to the EPA and the California Air Resources Board and U.S. Customs and Border Protection (since the engines were imported.)

The settlement affects about 100,000 vehicles, far fewer than the 500,000-plus Volkswagen affected by in that company's diesel emissions scandal. FCA has set aside $800 million to settle the claims.

The company will also pay $19 million to California to support other emissions mitigation efforts in the state.

READ THIS: 300K bought-back VW diesels are decaying in 37 lots as it waits for … what?

Bosch, a German automotive supplier which provided the original emission software is also contributing to the settlement.

Even as it agrees to the settlement, Fiat Chrysler claims that it did not deliberately scheme to install defeat devices to cheat emissions tests and it makes no admission of guilt regarding the charges.

“We acknowledge that this has created uncertainty for our customers, and we believe this resolution will maintain their trust in us,” said Mark Chernoby, FCA’s head of North American safety and regulatory compliance.

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Authorities are targeting mid-May for the software update to be available, as the settlement still requires final approval by the court. Once it receives that approval, existing EcoDiesel owners will have 18 months to file claims and former owners will have 90 days.

Volkswagen wrapped up its settlement for 2.0-liter TDIs at the end of the year. Its vehicles (primarily Audis) equipped with 3.0-liter diesel V-6s has been released but those owners still have until Aug. 31 to submit their claims. A class action suit has also been filed against Mercedes-Benz over emissions from some of its Bluetec diesel-equipped cars, but it has not been accepted by a court.

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Mercedes’ new CLA coupe loaded with high-tech extras in clear pitch to millennial luxury buyers

Source: Mercedes-Benz
2020 Mercedes-Benz CLA 250 Coupe

In a clear pitch to millennials, Mercedes has loaded its second-generation CLA coupe unveiled at the Consumer Electronics Show in Las Vegas this week with new digital technology, including the its first semiautonomous driving system.

With a starting price tag at under $30,000, the CLA's launch in 2013 brought in a wave of young, first-time luxury buyers Mercedes hopes will move up to more expensive models in the years to come. A visually striking coupe-like sedan, the CLA quickly became the fastest-growing model in the Daimler subsidiary's history.

The 2020 CLA is slightly bigger than the original coupe and will have the ability to operate hands-free under specific conditions, primarily on divided highways. It even can make a pass automatically; the driver simply tapping on the turn signal when operating in semiautonomous mode.

“The new edition of the CLA has been developed further in an intelligent way and is even more emotional and sportier than its predecessor,” said Britta Seeger, global head of Mercedes-Benz cars marketing and sales.

The coupe-like sedan also becomes just the second Mercedes model to offer the automaker's new voice-control system, MBUX, short for the Mercedes-Benz User Experience. Unveiled at the 2018 CES, it works much like the Amazon Alexa voice assistant — which can also be accessed from inside the cabin. Speak the system's wake words, “Hey, Mercedes,” and it comes to life. It can be used to set a destination, play music and do a variety of other functions that go well beyond the more basic voice-control technology found in most of today's new cars.

The system was first rolled out last year on the new A-class sedan. It is being updated this year, Mercedes announced at CES this week, for the 2020 CLA. Among other things, it now can answer more complex questions, and it can recognize who, in a crowded car, was the one who called for its help.

Visually, the 2020 remake doesn't stray far from the design of the original CLA, though it has a more sporty feel, with “power bulges” on the hood and the cabin moved slightly rearward. The interior has been upgraded, as well, to be more in line with what customers would expect of a vehicle badged with the familiar Mercedes tri-star. The original model was faulted for its comparatively Spartan interior.

Buyers will have a wide range of options, including many of the high-tech features, such as LED headlamps. Mercedes is still aiming to bring in first-time luxury buyers with a relatively low base price. The original 2013 CLA began at just under $30,000. The outgoing version now starts at $33,100. The automaker won't release pricing on the 2020 model until closer to its on-sale date late this year.

Source: Mercedes-Benz
2020 Mercedes-Benz CLA 250 Coupe

Two versions of the new CLA were announced in Las Vegas, the front-wheel-drive CLA 250 and all-wheel-drive CLA 250 4Matic. They will share the same turbocharged 2.0-liter inline-four making 221 horsepower and 258 pound-feet of torque. The engine is paired with a seven-speed dual-clutch transmission. As with the outgoing model, a more powerful version developed by the Mercedes-AMG subsidiary, will follow.

The CLA shares the same underlying platform as several other new Mercedes products, a list that includes the 2019 A-class, a more boxy sedan that was introduced to the U.S. market for the first time last year. An updated version of the brand's crossover utility vehicle, the GLA, is expected to debut in the near future. With the ongoing shift from passenger cars to light trucks, the GLA has been gaining momentum at the expense of the sedans.

But Mercedes is trying to cover as many bases as it can in the small-car segment, eventually planning to have seven different models available globally.

It's by no means the only luxury automaker stretching down to attract youthful buyers on a budget. BMW, for one, has added 1- and 2-series models, as well as X1 and X2 crossovers, beneath what had once been its entry model, the 3-series.

For its part, Mercedes is hoping that, by luring in new entry-level buyers, it can give more momentum to its North American and global sales. Worldwide, the automaker scored just a 0.9 percent increase in demand last year, to 2.31 million vehicles, with most of that modest gain driven by the Chinese market. As a result, it slipped into second place among global luxury brands for the second consecutive year behind BMW.

Disclosure:
Paul Eisenstein
is a freelancer for CNBC. His travel and accommodations for this article were paid by an automaker.