Daimler's Smart Will Kill Its Internal Combustion Engines Before Year's End

Matt Posky
by Matt Posky

It would appear that the Smart money is literally on electric cars. Daimler says it plans to stop selling combustion-engined Smart models in North America entirely. If you live in the United States or Canada and want a goofy gas-powered mini car, you’d better buy one now.

Mercedes-Benz USA CEO Dietmar Exler has issued a letter to dealers explaining that the sale of Smart cars with gasoline engines will stop when the 2017 model year ends this fall.

“Developments within the micro-car segment present some challenges for the current smart product portfolio,” Exler wrote in the letter obtained by Reuters. “A dedicated focus on the electric drive in the U.S. and Canada provides a logical step to support a sustainable, zero emissions future.”

According to Daimler, the change does not apply to other markets outside North America, where small cars sales haven’t weakened quite so badly. In fact, Smart’s European sales have bounced back sharply after a five-year slump that began in 2010. Last year was particularly good for the company across the pond, but the brand continued to flounder in both the United States and Canada.

Mercedes-Benz sold 8,086 Smart cars in North America last year, thanks largely to consistently lower gasoline prices and decreasing interest in small cars. Meanwhile, electric cars remain a niche but consistently growing segment. Despite the limitations of having a diminished range and no backseat, Smart’s Fortwo Electric Drive should remain the preeminent vehicle for on-street parking in the country’s densest cities.

Daimler has updated the little EV’s styling and battery for 2017. While the previous Smart EV petered out at 68 miles, the new model is is expected to be capable of a more-livable range close to 100 miles when it arrives this spring.

[Image: Mercedes-Benz]

Matt Posky
Matt Posky

A staunch consumer advocate tracking industry trends and regulation. Before joining TTAC, Matt spent a decade working for marketing and research firms based in NYC. Clients included several of the world’s largest automakers, global tire brands, and aftermarket part suppliers. Dissatisfied with the corporate world and resentful of having to wear suits everyday, he pivoted to writing about cars. Since then, that man has become an ardent supporter of the right-to-repair movement, been interviewed on the auto industry by national radio broadcasts, driven more rental cars than anyone ever should, participated in amateur rallying events, and received the requisite minimum training as sanctioned by the SCCA. Handy with a wrench, Matt grew up surrounded by Detroit auto workers and managed to get a pizza delivery job before he was legally eligible. He later found himself driving box trucks through Manhattan, guaranteeing future sympathy for actual truckers. He continues to conduct research pertaining to the automotive sector as an independent contractor and has since moved back to his native Michigan, closer to where the cars are born. A contrarian, Matt claims to prefer understeer — stating that front and all-wheel drive vehicles cater best to his driving style.

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  • Dukeisduke Dukeisduke on Feb 15, 2017

    Also several Fiat 500e models for under $6k, with less than 30,000 miles.

  • Craiger Craiger on May 02, 2017

    Where are you going to charge the batteries if you live in a dense urban environment? I say this as a lifelong New York City resident.

  • TheEndlessEnigma Of course they should unionize. US based automotive production component production and auto assembly plants with unionized memberships produce the highest quality products in the automotive sector. Just look at the high quality products produced by GM, Ford and Chrysler!
  • Redapple2 Got cha. No big.
  • Theflyersfan The wheel and tire combo is tragic and the "M Stripe" has to go, but overall, this one is a keeper. Provided the mileage isn't 300,000 and the service records don't read like a horror novel, this could be one of the last (almost) unmodified E34s out there that isn't rotting in a barn. I can see this ad being taken down quickly due to someone taking the chance. Recently had some good finds here. Which means Monday, we'll see a 1999 Honda Civic with falling off body mods from Pep Boys, a rusted fart can, Honda Rot with bad paint, 400,000 miles, and a biohazard interior, all for the unrealistic price of $10,000.
  • Theflyersfan Expect a press report about an expansion of VW's Mexican plant any day now. I'm all for worker's rights to get the best (and fair) wages and benefits possible, but didn't VW, and for that matter many of the Asian and European carmaker plants in the south, already have as good of, if not better wages already? This can drive a wedge in those plants and this might be a case of be careful what you wish for.
  • Jkross22 When I think about products that I buy that are of the highest quality or are of great value, I have no idea if they are made as a whole or in parts by unionized employees. As a customer, that's really all I care about. When I think about services I receive from unionized and non-unionized employees, it varies from C- to F levels of service. Will unionizing make the cars better or worse?
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