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General Motors hopes to market mini car
The company wants the Beat to score in a fuel-efficient U.S.
 
Saturday, Jul 05, 2008 - 12:08 AM 
 
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THE ASSOCIATED PRESS

DETROIT -- General Motors Corp. is considering a new Chevrolet mini car for the United States as it reworks its product lineup to cope with a dramatic shift from trucks to cars. The movement to smaller vehicles is linked to high gas prices.

GM spokesman Dee Allen said Thursday that bringing the Chevrolet Beat, which is about the size of a Honda Fit or Toyota Yaris mini car, to the U.S. is among the options the company is studying.

The study came as GM shares have been trading near their lowest levels in more than a half century, raising investor worries about the automaker's future and its ability to adjust quickly to demand for more fuel-efficient cars.

The Beat, to be built in South Korea, will be rolled out in other global markets faster than it would be in the U.S., Allen said. He did not know when the car might be sold elsewhere or in the U.S.

The car still must be engineered to meet U.S. safety and emissions standards, he said.

GM unveiled the Beat with two other ultra-small cars as concepts at auto shows last year. The company said the trio were designed to attract young buyers in urban markets around the globe.

The Beat is a front-wheel-drive three-door hatchback powered by a 1.2-liter turbocharged gasoline engine.

The company has declined to say what the price would be for the Beat, but Vice Chairman Bob Lutz said last year that GM mini cars ideally would start about $10,000 in the U.S.

U.S. mini-car sales are up nearly 31 percent for the first half of the year, although the total U.S. auto market is down more than 18 percent, according to Autodata Corp.

 

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