China’s decision to impose import duties will affect Bmw, Mercedes-Benz

Article by Christian Andrei, on December 15, 2011

BMW, Daimler and several U.S. automakers are affected by the decision of the Chinese government to impose punitive duties on certain vehicles imported from the U.S. On the Web site of China's commerce ministry, BMW models in the U.S. will face duties of 2% while those of Daimler's Mercedes-Benz are liable for 2.7%. The duties that face General Motors Co. range from 8.9% to 12.9%.

Meanwhile, Chrysler Group's duties range from 6.2% to 8.8%. Only vehicles with engines that are above 2.5 liters are affected by the taxes. The tax will also be imposed on the U.S. operations of Honda and other automakers that weren’t specified by the ministry. Currently, China imposes 25% in tariffs on imported cars.

Both BMW and Mercedes export sport-utility vehicles from the U.S. BMW is planning to expand its South Carolina plant to make up to 300,000 X5, X6, and X3 SUVs in 2012 after having made 270,000 in 2011. Daimler intends to spend $2.4 billion between 2010 and 2014 to add equipment to its Alabama plant to produce the C-class sedan.

This plant presently produces the R-class wagon, and the M class and GL SUVs. Last year, the plant rolled out 125,400 vehicles. In its statement, the ministry asserted that the subsidies had benefited U.S. cars and sport utility vehicles. It also claimed that these U.S. cars caused "substantial damage" to the domestic auto industry.

As a brand, one of the philosophies that Mercedes-Benz follows is the holistic safety concept which is known as Real Life Safety. This idea was resulted from what may happen should a real accident occur.

One of the best examples of this in practice is the new M-Class. By having deformation zones in both the front area and the rear one then combined with the use of a high-strength passenger cell, it results in a truly effective basis for occupant protection systems.

While the new M-Class comes with driver-fitness safety and active safety, these are enhanced even more through the assistance systems that people are likely to be familiar with like those from the E-Class, and even from the S-Class. In addition to breaking new grounds when it comes to passive safety, its energy efficiency has been optimized with excellent ride comfort and remarkable driving dynamics.

On the inside, one will likely see that the interior has been redesigned with some features delivering amazing ergonomics. Indeed, this third-generation version of the M-Class is likely to set new standards within the SUV segment considering the pioneering automotive technology equipped.The M-Class is also revealed to have excellent fuel economy with emissions just as remarkable.

In fact, when compared to the previous generation, it uses 25% less fuel. For Mercedes-Benz, this is considered as a huge success as no one had been able to lower fuel consumption by that much for a SUV model.Helping with this efficiency is a host of factors like implementing a wide range of BlueEFFICIENCY measures and a cd value coming in at 0.32.

Using new development tools, like the energy-transparent vehicle, help with enhancing efficiency as well. A good example is the ML 250 BlueTEC 4MATIC. Using only a single tank, it can go as far as 1,500 kilometers.

Fuel consumption under the NEDC driving cycle is 6.0 liters for every 1/100 kilometers with CO2 emissions of 158 g/km. Compared to the previous version, this translates to the new M-Class being economical by as much as 28%.

Topics: china, bmw, mercedes-benz

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