Luxury

McLaren is soon set to start production of its most powerful model ever and some examples are set to be coming to Australia.

It’s been expected for a while, but now it’s official.

Mercedes-Benz has dipped its toe in the plug-in hybrid space before, but now there are a more models on offer that suggest the brand is all-in. The newest to arrive is the C350e, a PHEV version of its most recognisable model, the C-Class. We hit up the Australian launch to test it out.

Alfa Romeo’s new Tonale promises to reinject the “Alfa Romeo driving appeal” into its small SUV, with a new generation doubling down on the driving fun in an effort to lure in more customers.

Volvo says 'fighting in the trenches' with Chinese premium brands on price is a losing battle.

BMW has revealed the look of all of its future models with the iX3, but don’t expect every new BMW to look the same from here out.

Two European SUVs and a new Chinese ute have learned their safety fate from the Australasian New Car Assessment Program (ANCAP).

A revamped all-electric luxury sedan will hit the Aussie market before the end of this year.

The rapid rise and increasing threat of Chinese automakers did not accelerate BMW’s development of its next-generation Neue Klasse vehicle architecture, according to a key executive.The German giant acknowledges the increasing presence of China in the global new-car market, but the advanced vehicle architecture was well under way by the time Chinese brands like BYD experienced growth in Europe.BMW Board Member for Development, Joachim Post, talked up BMW’s reputation for innovation in the face of a rising China.“At that time, I believe China was not the main reason to do that. We are coming from innovation, from technology, to say what is coming up for the future, what could be feasible, how we can be successful. Because we are BMW. We stand for innovation, for features, for functions,” he said.“The second point is, for sure, we have seen that technology development, especially in China, go a fast speed. And to be successful also in that market, technology integration is very important. It's a competitive market. And there are some cars from China coming up which are good cars, which, let's say, it is good that we have made a decision to be on the technology jump and to be prepared for that.“And let me say I won't be in a situation like others, to be not prepared in that matter for the whole fleet like some others are.”China is BMW’s largest market by volume with total sales equalling between 20 and 30 per cent of the Group’s total sales spending on the year. It is a bigger market than the US and Germany.Post denied that Chinese carmakers presented an existential threat to BMW, and compared the country’s rise to that of Korean brands decades earlier.“Looking a lot of years ago in Europe, where the Korean brands came to Europe, same discussion. And finally, to be competitive in the market, to have attractive product, attractive features, functions… and have heritage on a brand is important, and we will see what's coming up.“The Chinese are going abroad, especially Asia. They will also come to Europe. But to be honest, they also have to earn money for the future. And when you look at what's going on in the Chinese market, not all of them are really earning money. And they have a reality when they come to Europe… and we will see what's coming.”At the same iX3 reveal event, BMW Board Member for Production, Milan Nedeljkovic, highlighted the differences in cost between manufacturing in China compared with Europe.“It has four or five relevant factors, which make economic difference between Europe and China. One, of course, is the cost level of salaries and people in fact, but more significant is even the price of energy. So how much do we pay for energy and secure price levels for long-term investment in salaries?“Secondly, it's access to raw materials and to refined raw materials. It's not about the mining. It's about refining. And China has significant capacities in refining raw materials. So to bring these raw materials back to Europe is rather ineffective, instead of getting it manufactured in China and having to finish it. So there are some advantages, which China has, and you can see it in the competitiveness of China when it comes to electric mobility in the pricing.“Nevertheless, at the same time, there are investments in Europe, also from Chinese companies and others, which show that if you want to be successful in the market, you must be in the market. It's not about import/export. It's about being part of the ecosystem of a region. That's why we have our footprint worldwide, and that's why all the other global players have a diverse manufacturing system to cover the main regions.”BMW Group has four main factories in China with its domestic partner, Brilliance, and one of the facilities - Dadong - was the company’s most production plant in 2023.

BMW is preparing for the next generation of M high-performance models, with the brand looking to satisfy both traditionalists and electric vehicle fans.Currently, full-fat M models remain internal combustion engine (ICE) models with some electrification, as is the case with plug-in hybrids the new M5 and the XM SUV.But the Bavarian brand wants to cover its bases with future M and M Performance models. BMW has just rolled out the first model from its Neue Klasse (New Class) group of models, the iX3.These models feature high-tech computers dubbed ‘Superbrains’, a new level of connectivity and digital features, and in the case of the iX3 SUV and incoming i3 sedan, full electrification.According to Head of BMW Neue Klasse, Mike Reichelt, the carmaker is readying a two-powertrain strategy for its future M cars.“We prepare for the first M model of the Neue Klasse, but we know … there are many customers will love the M3 ICE, and maybe there are two offers,” he said.BMW will launch the next Neue Klasse model, the all-electric i3 sedan, in 2026, and it will precede the ICE version of the next-generation 3 Series.The company also previewed an electric M3 with the BMW Vision Driving Experience concept from this year’s Shanghai motor show.With the iX3 launching in Australia in 2026, it’s expected that a performance focussed M version will follow, however BMW is yet to officially confirm it.When asked if BMW X3 owners are as passionate about ICE powertrains as M3 drivers, Reichelt said:“Maybe they feel today, no, but I'm absolutely sure when they drive the first M model of a Neue Klasse with a ‘Heart of Joy', with four engines on every wheel, and this power, they will love . But then we have customers, who love to drive ICE and more, it's okay, then we get an M3 with an ice engine.”Reichelt would not be drawn on an iX3 M, but said given the massive change with Neue Klasse models, and common parts, it would make sense.“When we go on the M side in such a big step, and we have such a high number of common parts communality, it has a logic to say we have the technology, we have the cars, we combine it. But I can't… confirm it today, but it has a logic way.”Meanwhile, BMW Board Member for Development, Joachim Post, said it was “feasible” to spin off a two-door sportscar from the Neue Klasse architecture.“The philosophy of BMW also has been in the past to, we say ‘baukasten’. That means that we have communal parts for different types of cars in different segments. Electronics control units, for example, a battery cell, all these things are the same, but integrated in a different package.“So for us as BMW, it's always core to think in that way, how we can develop a component that we can scale it in every of our cars. That's why we can be so fast to make now, this new technology, in two years, in 40 derivatives. That gives you the possibility to make scaling combinations, to make them feasible, to run from a business case, we will see what's coming up for future.”The carmaker will have 40 derivatives of Neue Klasse in the coming three years, but not all of them will be full Neue Klasse models like the iX3 and i3. Some will just adopt the in-car tech and new design language, for example.