Cars Shrink Under Pressure from Government, Consumers

Washington DC January 7, 2010; The AIADA newsletter reported that it's a small world after all. That is one message automakers are sending, loud and clear, to consumers and politicians judging by the vehicles that will be on display at this year's North American International Auto Show in Detroit.

According to The Detroit News, unlike past years when big trucks, muscle cars, or outrageous concepts have drawn the spotlight, small cars will show their might in numbers. Among international nameplates there are the new Mazda2, Honda CR-Z, and small Toyota and Lexus hybrid concepts.

Want to go even smaller? Check out an electric version of the tiny Fiat 500. Among the concepts are an all-wheel-drive version of a Mini, an electric Volvo C30, BMW 1-Series, and a curious-looking Hyundai hybrid.

The prominence of smaller vehicles at this year's show reflects a number of industry forces. One is the aftermath of 2009 that saw smaller versions of General Motors Co. and Chrysler Group LLC emerge from bankruptcy in a year that left most automakers bruised by the worst sales year since 1970.

Another factor is the regulatory push to meet stricter corporate average fuel efficiency standards that take effect in 2016. Click here for more on the emergence of small cars as a driving force at the Detroit Auto Show.