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BMW and Toyota to team up for sports car

BMW and Toyota have agreed to jointly engineer and produce a new sports car as part of a broad-reaching technical partnership that is also set to center on lightweight construction solutions, fuel-cell development and hybrid powertrains. The announcement of the deal builds on an existing agreement for the supply of BMW diesel engines for various Toyota models, agreed to in December 2011. That was advanced with the signing of a memorandum by BMW CEO Norbert Reithofer and Toyota chairman Akio Toyoda in Munich, Germany, on Friday.

Britain leads bumper year for Ferrari

FERRARI may be struggling on the Formula One track, but its bank accounts are in fine shape after profits reached new record highs. After delivering 3,631 cars in the first six months of the year – 3.6% fewer than the me period in 2013, in line with the company's plans to reduce deliveries – revenues were up 14.5% to almost £1.35 billion. Profits rose 5.2% to £185 million, which should pay for a good send-off for the outgoing Ferrari Chairman Luca di Montezemolo after his 23 years of service.

Volkswagen to add compact four-door coupe to its lineup

Volkswagen has hatched plans for a second four-door “coupe” model as part of a strategy to shore up its North American and Chinese market shares while providing a suitable addition to its European lineup. To be positioned underneath the recently facelifted CC, the new four-seater is set to form part of the Jetta lineup, joining successors to today's sedan and wagon models in an expanded three-model range. They're all set to hail from Volkswagen's Puebla plant in Mexico, the same site responsible for the newly launched second-generation Beetle.