MT CONFIDENTIAL

Many sporting cars do when initial demand wanes after 24 to 30 months. Keep a close eye on the sales figures, both in the U.S. and worldwide. The small sports car segment the Supra plunges into has As for Supra partner BMW? Whispers out of Munich suggest the cycle plan shows no replacement for the newly launched G29 Z4 when it’s due for an update in the mid-2020s. And if BMW decides it simply isn’t worth doing another Z4, where will that leave the Supra? That engine is entering its twilight years but still powers heavy-hitting performance models such as the SVR variants of the Jaguar F-Pace and Range Rover Velar. JLR can’t afford to develop an all-new V-8. Which is why it is rumored to have done a deal with BMW for the German automaker to supply it with a new 4.0-liter twin-turbo V-8. The deal benefits BMW, too: Munich insiders have noticed the downturn in V-8 demand—and the parallel challenges of getting large-displacement engines to meet tougher emissions and fuel consumption standards—and welcome the extra volume. Golf 8 will retain the sharp edges of the current car but will get a sportier roofline and a slimline grille. Word out of Wolfsburg is the performance GTI and R variants will be especially enticing. With differently tuned versions of a 2.0-liter turbo-four under the hood, the GTI is expected to pack 232 hp; the R will boast a muscular 328 hp.