For years America imported large cars and let the Europeans and Japanese keep the small ones for themselves. That could be about to change
Rising Gas Prices May Bring Minis Home
"That's the biggest difference, between the U.S. market and everywhere else. Here we started complaining when gas went over $2 a gallon. In Europe and Japan, they're paying $7," said John Wolkonowicz, an analyst for Global Insight in Lexington, Mass.
For years European and Japanese carmakers designed larger cars specifically for the U.S. market, keeping the smaller models for domestic consumption. To the extent that the U.S. market starts to more closely resemble those markets—and with oil at a record $80 a barrel, it could—the cars seen outside Sheboygan or Little Rock may one day soon not look that much different from those in Osaka or Ostend.
At another extreme are cars like the sexy Alfa Romeo 8C Competizione, which proves that fuel-sipping Europeans still know how to have an automotive good time. It is not on sale in the U.S.—nor are any new Alfas, not since the company quit the U.S. market in 1995—but Alfa, which is a subsidiary of Fiat (FIA.MI), is angling for a U.S. comeback, probably starting with the 8C Competizione, around 2009.
At one extreme, those unfamiliar overseas models include minicars like the Chery QQ from mainland China, or the Nissan Pino from Japan. It's hard to imagine many Americans stuffing themselves into these tiny cars, but some people seem to like the idea. Daimler's (DAI) Smart USA says it has thousands of $99 deposits for its Mercedes-built two-seater, the Smart Fortwo, which goes on sale in the U.S. next year.
Gas prices are not the only factor driving automotive convergence. It is financially urgent for the automakers to share internally as much hardware and engineering expertise globally as possible, in order to spread costs over the biggest volume possible.
Its an interesting article... The full story is at: America's Next Cars?
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Originally Posted by Equinox
