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Smart brand will be built in China as a Daimler-Geely joint

FRANKFURT/BEIJING — Daimler will build its next generation of Smart electric cars in China through a joint venture with Geely, as a way to increase economies of scale in a market segment that is struggling to turn a profit. China's Geely built a stake of almost 10 percent in Daimler last year, saying it wanted to forge an alliance to develop electric and self-driving cars to better compete against new challengers such as Uber and Google. Daimler said on Thursday it would build the next generation of Smart-branded city cars at a purpose-built factory in China, and planned to share its expertise in manufacturing, engineering and design with Geely. The high cost of electric car batteries has made it hard for automakers to build affordable zero-emissions vehicles, leading several of them to strike alliances with Chinese partners. Daimler's German rival BMW recently unveiled plans to build electric Minis in China, where production costs are low and demand for small electric cars is rising. Daimler and Geely did not disclose financial terms of their deal. The details of the joint venture will be finalized by the end of 2019, they said in a joint press release. Daimler currently develops and builds Smart cars with Renault at factories in France and Slovenia. The Daimler factory in Hambach, France, will be retooled to build Mercedes-Benz cars. Geely has been expanding rapidly through mergers and acquisitions since 2010, when it acquired Swedish carmaker Volvo from Ford. Last year, Daimler and Geely set up a ride-hailing joint venture in China. Daimler's Chief Executive Dieter Zetsche said last month the German carmaker was in talks to deepen its alliance with Geely after the Chinese's group's chairman Li Shufu bought a 9.69 percent stake in Daimler in 2018.

Smart ForFour prototype spotted alongside next-gen ForTwo

Smart is continuing to test its upcoming ForFour (seen above) model and the replacement for the ForTwo (pictured at the right), this time doing some cold-weather work in Sweden.
As we've reported previously, the ForFour is an all-new vehicle, and it will have more in common with the smaller ForTwo than the short-lived last model that was co-developed with Mitsubishi. This ForFour is instead a collaborative project with Renault, and could spawn what will ultimately become the new Renault Twingo. Some reports have it that Renault is no longer interested in the Smart partnership, but the fact that these testers were wearing French plates and were spotted caravanning with a French-registered Dacia Duster adds a bit of circumstantial evidence that the match is intact.
The new ForTwo was also spied in these snowy environs. The two-seater is expected to be ready to roll before the ForFour - likely coming to market in 2014. The ForFour, meanwhile, might not show up until 2015.

Smart will show new electric concept in Paris

Smart, the Daimler-Benz city car brand, is 20 years old. Its first product, the City-Coupe was presented in fall 1998, based on earlier concepts designed in tandem with the Swiss watchmaker Swatch. The two decades have seen Smart produce different cars such as low-slung roadsters and four-door Forfours based on Mitsubishi running gear, but the tall and short city car is what Smart has always been about. The new concept, called Forease, retains the "classic" Smart appearance, just restyled for the next decade. The completely roofless Forease resembles an earlier limited-edition Smart production version, the slightly sandal-like 2002 Crossblade, but it's a fully electric vehicle unlike the Crossblade; later on in 2011, Smart also showed an electric concept called Forspeed. The Smart brand is turning electric-only in 2020, and the concept will herald that era. From 2017 on, Smart has already started selling solely electric cars in the U.S., Canada and Norway. According to the manufacturer, the Forease concept itself is an "uncompromised" and "uncomplicated" urban mobility vehicle, with both a cut-down windshield and a cut steering wheel. There are roll hoops behind the seats, molded into the rear structure. There is no roof at all, not even a temporary hardtop, so the HVAC system has been removed and the dashboard's vents have been filled in with extra displays. "The Smart Forease is proof that Smart thinks unconventionally. Its design is reduced and pure," said Gorden Wagener, Daimler AG's chief design officer. Related Video: