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News and Reviews

Drum roll please: New models hit the runway

But it's the cancelled Smart model that will generate the most buzz, JEREMY CATO reports

By JEREMY CATO
Thursday, January 6, 2005 - Page G8

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Detroit's North American International Auto Show -- the most important car show on this continent each year -- won't open its doors to the public until Jan. 15 and already there has been an important casualty.

Officials at DaimlerChrysler AG's Smart car division have confirmed a decision not to go ahead with the world debut of its formore SUV (sport-utility vehicle) at the show. The formore unveiling had been one of the most eagerly anticipated events at Detroit.

Fortunately for car fans, Detroit's show will have another 60 or so new models and concepts to grab the spotlight. And car makers will take the wraps off a couple of dozen more at the Los Angeles auto show opening to the public tomorrow.

They include the 400-horsepower-plus Cadillac STS-V luxury sedan and the latest iteration of Chevrolet's race-inspired Corvette ZO6, along with an all-new Saturn roadster called the Sky. The world will also see the North American version of Volkswagen's fifth-generation Jetta, an all-new Mercedes-Benz M-class SUV, the next Hyundai Sonata, the luxurious Subaru B9X crossover SUV and many more production vehicles.

Then there are the concepts. The Detroit show has become famous for them. This year's list includes a sport wagon from Acura (RD-X), a sports car from Jaguar that will set the tone for the 2006 XK, a full-size SUV from Kia with the name Kia KCDII and many more.

Still, news of Smart's decision to delay development work on the formore and cancel its Detroit debut is an ominous sign for the small car brand. Smart cars went on sale in Canada last September to test the brand's marketing and product launch strategies. Here, the tiny two-seat Smart fortwo is selling briskly.

Nonetheless, Smart plans to have a presence at the Detroit show and DaimlerChrysler CEO Juergen Schrempp and other senior officials have repeatedly said there are no plans to dismantle or sell Smart. Cancelling the formore for Detroit will, however, spark many Smart questions in Detroit, with more follow-up queries sure to come at Toronto's Canadian International Auto Show in mid-February.

The truth is, all the world's major auto makers will have a significant presence in Detroit and, to a lesser extent, Los Angeles.What we can't know is what will emerge from two auto shows where the world's top auto executives, product developers and designers are surrounded by some 5,000 journalists from around the world. There certainly are questions to be answered, such as:

Will Toyota's big push into gasoline/electric hybrid vehicles gain traction, placing competitors who have neglected their hybrid development activities at a severe disadvantage? European auto makers are particularly at risk here.

How will Chrysler follow up with the successes of 2004, including the smashing launch of the made-in-Canada 300 and Magnum cars?

Will Canadian and American buyers opt for a small, five-door hatchback called the Audi A3?

How will the new VW Jetta and its hatchback cousin the Golf be accepted in Canada and the United States?

Will the traditional Big Three (General Motors, Ford, Chrysler) reverse a decades-old slide in market share that has left them dangerously close to a combined share that is smaller than what GM alone held 30 years ago?

In the car business, the right answers to these and most other questions are a direct result of the products companies bring to market. As Nissan CEO Carlos Ghosn is fond of saying, there is nothing wrong with a car company that can't be fixed with good product.

With that in mind, here's a look at the new products expected to be unwrapped in Detroit and Los Angeles.

General Motors Corp.

Chevrolet: Look for the 500-horsepower Chevrolet Corvette Z06 coupe to have its introduction at either the Los Angeles or Detroit show.Pontiac: The G6 coupe and convertible will both be shown in Detroit. Then the coupe is slated to hit showrooms around early spring. Look for the convertible in the fall as a 2006 model. The made-in-Canada Torrent, a 2006 crossover wagon, is Pontiac's version of the Chevrolet Equinox. Hummer: The H3 midsize SUV pushes Hummer down market into what will likely be the $40,000-range. Saturn: The Sky is Saturn's first convertible and will go on sale in early 2006. More important to Saturn in terms of sales volumes and profitability is the yet-unnamed midsize car being added to Saturn's lineup. It will get its world debut in Detroit. What Detroit visitors will see, then, is a very thorough look at the future of Saturn. The Sky will be the brand's "halo" car -- the car that sets the tone for the whole Saturn portfolio -- while the midsize sedan is the volume model most folks will actually buy. It is gorgeous, by the way.

 
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