2009 Shanghai Auto Show: Microcars Rule

SHANGHAI, China — One thing was clear at the 2009 Shanghai Auto Show: there's a "smaller is better" movement afoot. Chinese consumers, long recognized as lovers of large, conservatively styled sedans, are shifting their focus rapidly toward the opposite end of the automotive spectrum. It's an accelerating trend that is being fed by a confluence of factors, from environmental concerns and high fuel prices to new government incentives on smaller vehicles.

At the show, nearly every major manufacturer has at least one or two minicars on display, some with small gasoline engines and others with electric motors and battery packs.

For the most part, these so-called A00 vehicles — China's equivalent of urban commuter cars like the European Smart Fortwo — are quirky, cute, even stylish, designed primarily to appeal to younger buyers with more liberal tastes. Typically, they seat two to four occupants and measure less than 160 inches long.

Chery revved up the microcar craze several years ago with the QQ, a low-priced riff — some claimed rip-off — of the Chevrolet Spark built by the Shanghai General Motors joint venture (and based, in turn, on the Korean-engineered Daewoo Matiz).

Rival Geely jumped into the fray late last year with its huggable Panda; BYD followed suit with its F0 hatchback, a Toyota Aygo look-alike, and the battle was joined.

Now, at least nine new microcars are on display at the Shanghai show, and most of them appear to be headed toward production in the near future.

Wuhu-based Chery is exhibiting two new baby cars, the QQme and the M1. The QQme is essentially an update of the original QQ that should be in Chinese showrooms within the month. Powered by a frugal 1.3-liter four-cylinder gas engine, the two-door, four-passenger hatchback measures 147.5 inches long. Targeted at young females, it will be priced a bit higher than the standard QQ.

The M1 will be sold later this year under Chery's new Riich sub-brand. A more modern-looking hatchback, the M1 initially will be marketed with a choice of 1.0- and 1.3-liter gas engines and will be priced well below $10,000. A plug-in electric version with lithium-ion-phosphate batteries, similar to the M1 concept on display here, eventually will join its sibling at Chery dealerships, priced from around $15,000.

Geely, based in Hangzhou, has developed a slightly more rugged version of its basic car, code-named GX313 and christened the Panda Cross. It is expected to go on sale later this year as part of the company's new Gleagle sub-brand, with a sticker of less than $10,000.

At the Shanghai show, Geely also has unveiled a tiny 1+2-passenger concept electric car dubbed the IG, for "Intelligent Geely." The driver sits alone in the first row, with one or two occupants behind. There are a number of clever technical solutions, including solar roof panels and a single curbside gullwing access door.

Another independent carmaker, Baoding-based Great Wall (Changcheng) has updated last year's Gwkulla minicar and has created a derivative called the M1 that it intends to market as part of its Hover sub-brand.

The Gwkulla is powered by a lithium-ion battery pack and a 67-horsepower electric motor, with a range of up to 100 miles between charges. Great Wall says it may put the Gwkulla on sale by early next year with a sub-$10,000 sticker.

The Hover M1 looks more like a miniature crossover. It features a 1.3-liter gas engine and four-wheel drive. It will go into production this summer, the company says.

Based in Anhui province, not far from Chery, Jianghuai is moving full throttle into the passenger-car sector, now with a new minicar called Yueyue. Smaller than the company's Tongyue and Binyue sedans, the Yueyue hatchback resembles the curvy BYD F0 and will be offered with a choice of 1.0- and 1.3-liter four-cylinder engines. Prices will start at around $8,000 when the car hits the street late this year, wearing the company's JAC badge.

Haima, a division of Chinese auto giant FAW based on Hainan Island, has released its smallest car to date, an electric model dubbed the Me. With a lithium-ion battery pack, the Me has a 100-mile range between charges. The tiny two-seater does not yet have a firm production launch date.

Even farther out is the quirky i-Car from Dongfeng, another of China's major players, based in Wuhan. Perhaps the most distinctively styled of all the microcars on display in Shanghai, the battery-powered i-Car has personality in spades, with a front end that resembles a giant happy face. Dongfeng has not disclosed production plans, if any.

Inside Line says: A mini stampede at Shanghai could spill eventually into overseas markets. — Paul Lienert, Correspondent