The tiny Smart car refuses to die. Now it's headed to China

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Daimler is teaming up with Zhejiang Geely Holding Group to form a joint venture to transform the Smart car into an all-electric brand based in China, the world’s largest auto market.

Since its introduction two decades ago, the diminutive Smart has sat awkwardly alongside the imposing, autobahn-eating cars that have made Daimler AG the king of the road.

From its inception, the Smart was a bold bet for Daimler that pushed the automaker out of its comfort zone of big, reliable sedans with no-nonsense styling. Originally conceived in partnership with Swiss watch company Swatch Group AG, the bulbous two-seater was aimed at young city dwellers seeking an alternative to two tons of hulking metal to get around town.

Given the relatively low output, production in Europe was too costly. And there were alternatives such as the Fiat 500, the Toyota Aygo or BMW AG’s Mini, which — while more expensive — offered a more compelling package in retro wrapping. Overall, the Smart brand didn’t prove elastic enough to accommodate the stable of urban commuter vehicles the company had originally envisioned.

Daimler Chief Executive Dieter Zetsche maintains that given the 2.2 million Smarts in the street around the world, the brand “represents a pioneer in urban mobility,” according to a release on Thursday.

 

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